Discounted Cash Flow (DCF) Analysis Levered

Banc of California, Inc. (BANC)

$16.23

-0.18 (-1.10%)
All numbers are in Millions, Currency in USD
Stock DCF: 35.95 | 16.23 | 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 $ 16.23
Beta 1.340
Diluted Shares Outstanding 50.18
Cost of Debt
Tax Rate 24.54
After-tax Cost of Debt 3.50%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.287
Total Debt 816.12
Total Equity 814.46
Total Capital 1,630.58
Debt Weighting 50.05
Equity Weighting 49.95
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 140.63124.96111.0498.6787.68
SUM PV LFCF 562.97

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.89
Free cash flow (t + 1) 124.79
Terminal Value 2,551.91
Present Value of Terminal Value 1,828.86

Intrinsic Value

Enterprise Value 2,391.83
Net Debt 588
Equity Value 1,803.84
Shares Outstanding 50.18
Equity Value Per Share 35.95