Discounted Cash Flow (DCF) Analysis Levered

Franklin Financial Services Corpora... (FRAF)

$31.19

+0.31 (+1.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 46.51 | 31.19 | 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 52.2856.5255.9660.2656.4557.6458.8760.1161.3862.68
Revenue (%)
Operating Cash Flow 9.3018.976.4426.3525.2417.4417.8118.1918.5718.97
Operating Cash Flow (%)
Capital Expenditure -1.16-1.65-0.48-8.81-12.22-4.87-4.98-5.08-5.19-5.30
Capital Expenditure (%)
Free Cash Flow 8.1417.315.9517.5413.0312.5712.8413.1113.3813.67

Weighted Average Cost Of Capital

Share price $ 31.19
Beta 0.517
Diluted Shares Outstanding 4.36
Cost of Debt
Tax Rate 14.62
After-tax Cost of Debt 67.58%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.940
Total Debt 6.14
Total Equity 135.89
Total Capital 142.04
Debt Weighting 4.33
Equity Weighting 95.67
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 52.2856.5255.9660.2656.4557.6458.8760.1161.3862.68
Operating Cash Flow 9.3018.976.4426.3525.2417.4417.8118.1918.5718.97
Capital Expenditure -1.16-1.65-0.48-8.81-12.22-4.87-4.98-5.08-5.19-5.30
Free Cash Flow 8.1417.315.9517.5413.0312.5712.8413.1113.3813.67
WACC
PV LFCF 11.5710.8810.239.629.04
SUM PV LFCF 51.35

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.61
Free cash flow (t + 1) 13.94
Terminal Value 210.91
Present Value of Terminal Value 139.56

Intrinsic Value

Enterprise Value 190.90
Net Debt -11.74
Equity Value 202.64
Shares Outstanding 4.36
Equity Value Per Share 46.51