Discounted Cash Flow (DCF) Analysis Levered

Ames National Corporation (ATLO)

$18.44

+0.14 (+0.77%)
All numbers are in Millions, Currency in USD
Stock DCF: 47.75 | 18.44 | undervalue

Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 50.0253.8865.4666.5362.9366.9371.1975.7180.5285.64
Revenue (%)
Operating Cash Flow 20.7120.1829.7130.5421.2327.2929.0330.8732.8334.92
Operating Cash Flow (%)
Capital Expenditure -0.63-0.78-1.25-1.87-2.86-1.60-1.71-1.81-1.93-2.05
Capital Expenditure (%)
Free Cash Flow 20.0719.4028.4628.6618.3725.6927.3229.0630.9032.87

Weighted Average Cost Of Capital

Share price $ 18.44
Beta 0.595
Diluted Shares Outstanding 9.13
Cost of Debt
Tax Rate 23.32
After-tax Cost of Debt 16.29%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.133
Total Debt 39.12
Total Equity 168.30
Total Capital 207.42
Debt Weighting 18.86
Equity Weighting 81.14
Wacc

Build Up Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 50.0253.8865.4666.5362.9366.9371.1975.7180.5285.64
Operating Cash Flow 20.7120.1829.7130.5421.2327.2929.0330.8732.8334.92
Capital Expenditure -0.63-0.78-1.25-1.87-2.86-1.60-1.71-1.81-1.93-2.05
Free Cash Flow 20.0719.4028.4628.6618.3725.6927.3229.0630.9032.87
WACC
PV LFCF 23.6023.0522.5222.0121.50
SUM PV LFCF 112.68

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.86
Free cash flow (t + 1) 33.53
Terminal Value 488.71
Present Value of Terminal Value 319.67

Intrinsic Value

Enterprise Value 432.35
Net Debt -3.43
Equity Value 435.78
Shares Outstanding 9.13
Equity Value Per Share 47.75