Discounted Cash Flow (DCF) Analysis Levered

Bank of Hawaii Corporation (BOH)

$85.07

+0.85 (+1.01%)
All numbers are in Millions, Currency in USD
Stock DCF: 83.80 | 85.07 | overvalue

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 638.60650.03675.33676.47668.64676.49684.43692.46700.58708.80
Revenue (%)
Operating Cash Flow 175.15317.92234.24146.42377.15255.81258.81261.84264.92268.03
Operating Cash Flow (%)
Capital Expenditure -30.47-35.30-53.90-33.29-38.62-39.07-39.53-40-40.47-40.94
Capital Expenditure (%)
Free Cash Flow 144.68282.62180.34113.13338.53216.73219.28221.85224.45227.09

Weighted Average Cost Of Capital

Share price $ 85.07
Beta 1.114
Diluted Shares Outstanding 39.89
Cost of Debt
Tax Rate 22.17
After-tax Cost of Debt 20.16%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.083
Total Debt 113.60
Total Equity 3,393.62
Total Capital 3,507.22
Debt Weighting 3.24
Equity Weighting 96.76
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 638.60650.03675.33676.47668.64676.49684.43692.46700.58708.80
Operating Cash Flow 175.15317.92234.24146.42377.15255.81258.81261.84264.92268.03
Capital Expenditure -30.47-35.30-53.90-33.29-38.62-39.07-39.53-40-40.47-40.94
Free Cash Flow 144.68282.62180.34113.13338.53216.73219.28221.85224.45227.09
WACC
PV LFCF 169.82158.40147.74137.81128.54
SUM PV LFCF 873.38

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.47
Free cash flow (t + 1) 231.63
Terminal Value 3,580.02
Present Value of Terminal Value 2,384.17

Intrinsic Value

Enterprise Value 3,257.55
Net Debt -85.30
Equity Value 3,342.84
Shares Outstanding 39.89
Equity Value Per Share 83.80