Discounted Cash Flow (DCF) Analysis Levered

Banc of California, Inc. (BANC-PE)

$25

+0.01 (+-%)
All numbers are in Millions, Currency in USD
Stock DCF: 72.27 | 25 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 343.02307.58258.58243.11272.71259.02246.03233.68221.96210.82
Revenue (%)
Operating Cash Flow 563.0112380.2574.86105.74157.86149.94142.42135.27128.49
Operating Cash Flow (%)
Capital Expenditure -15.32-9-10.48-5.09-2.81-7.55-7.17-6.81-6.47-6.14
Capital Expenditure (%)
Free Cash Flow 547.6911469.7869.77102.93150.32142.77135.61128.80122.34

Weighted Average Cost Of Capital

Share price $ 25
Beta 1.515
Diluted Shares Outstanding 26.33
Cost of Debt
Tax Rate 24.54
After-tax Cost of Debt 3.50%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.638
Total Debt 816.12
Total Equity 658.19
Total Capital 1,474.31
Debt Weighting 55.36
Equity Weighting 44.64
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 343.02307.58258.58243.11272.71259.02246.03233.68221.96210.82
Operating Cash Flow 563.0112380.2574.86105.74157.86149.94142.42135.27128.49
Capital Expenditure -15.32-9-10.48-5.09-2.81-7.55-7.17-6.81-6.47-6.14
Free Cash Flow 547.6911469.7869.77102.93150.32142.77135.61128.80122.34
WACC
PV LFCF 140.89125.43111.6799.4188.50
SUM PV LFCF 565.90

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.69
Free cash flow (t + 1) 124.79
Terminal Value 2,660.74
Present Value of Terminal Value 1,924.79

Intrinsic Value

Enterprise Value 2,490.69
Net Debt 588
Equity Value 1,902.69
Shares Outstanding 26.33
Equity Value Per Share 72.27