Discounted Cash Flow (DCF) Analysis Levered

ESSA Bancorp, Inc. (ESSA)

$20.01

+0.02 (+0.10%)
All numbers are in Millions, Currency in USD
Stock DCF: 90.16 | 20.01 | 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 53.7256.0555.1761.4664.3967.4370.6373.9777.4781.14
Revenue (%)
Operating Cash Flow 19.4823.3918.1919.7519.3723.3624.4625.6226.8328.10
Operating Cash Flow (%)
Capital Expenditure -0.65-0.67-0.66-0.74-0.77-0.81-0.85-0.89-0.93-0.97
Capital Expenditure (%)
Free Cash Flow 18.8422.7117.5319.0118.6022.5523.6224.7325.9027.13

Weighted Average Cost Of Capital

Share price $ 20.01
Beta 0.316
Diluted Shares Outstanding 9.95
Cost of Debt
Tax Rate 17.45
After-tax Cost of Debt 4.13%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.374
Total Debt -
Total Equity 199.05
Total Capital 199.05
Debt Weighting 0.00
Equity Weighting 100.00
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 53.7256.0555.1761.4664.3967.4370.6373.9777.4781.14
Operating Cash Flow 19.4823.3918.1919.7519.3723.3624.4625.6226.8328.10
Capital Expenditure -0.65-0.67-0.66-0.74-0.77-0.81-0.85-0.89-0.93-0.97
Free Cash Flow 18.8422.7117.5319.0118.6022.5523.6224.7325.9027.13
WACC
PV LFCF 20.3120.1920.0619.9419.82
SUM PV LFCF 105.71

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.37
Free cash flow (t + 1) 27.67
Terminal Value 821.17
Present Value of Terminal Value 632.19

Intrinsic Value

Enterprise Value 737.90
Net Debt -158.95
Equity Value 896.84
Shares Outstanding 9.95
Equity Value Per Share 90.16