Discounted Cash Flow (DCF) Analysis Levered

Bank of the James Financial Group, ... (BOTJ)

$10.4

-0.10 (-0.95%)
All numbers are in Millions, Currency in USD
Stock DCF: 40.07 | 10.4 | 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 27.8831.0935.0137.1942.0246.5851.6257.2263.4170.28
Revenue (%)
Operating Cash Flow 8.575.595.2015.789.3111.9413.2414.6716.2618.02
Operating Cash Flow (%)
Capital Expenditure -2.30-4.40-1.75-2.91-1.19-3.55-3.93-4.36-4.83-5.35
Capital Expenditure (%)
Free Cash Flow 6.271.193.4512.888.128.409.3110.3111.4312.67

Weighted Average Cost Of Capital

Share price $ 10.4
Beta 0.740
Diluted Shares Outstanding 4.75
Cost of Debt
Tax Rate 19.36
After-tax Cost of Debt 8.46%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.117
Total Debt 20.49
Total Equity 49.38
Total Capital 69.87
Debt Weighting 29.33
Equity Weighting 70.67
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 27.8831.0935.0137.1942.0246.5851.6257.2263.4170.28
Operating Cash Flow 8.575.595.2015.789.3111.9413.2414.6716.2618.02
Capital Expenditure -2.30-4.40-1.75-2.91-1.19-3.55-3.93-4.36-4.83-5.35
Free Cash Flow 6.271.193.4512.888.128.409.3110.3111.4312.67
WACC
PV LFCF 7.767.958.148.338.54
SUM PV LFCF 40.71

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.22
Free cash flow (t + 1) 12.92
Terminal Value 207.78
Present Value of Terminal Value 139.98

Intrinsic Value

Enterprise Value 180.69
Net Debt -9.53
Equity Value 190.22
Shares Outstanding 4.75
Equity Value Per Share 40.07