Discounted Cash Flow (DCF) Analysis Levered
Home Bancshares, Inc. (Conway, AR) (HOMB)
$21.52
+0.36 (+1.70%)
All numbers are in Millions, Currency in USD
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 | 655.34 | 654.13 | 684.56 | 699.78 | 918.88 | 1,006.18 | 1,101.77 | 1,206.44 | 1,321.06 | 1,446.56 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 302.22 | 247.41 | 291.73 | 389.38 | 199.15 | 410.26 | 449.24 | 491.92 | 538.65 | 589.83 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -7.95 | -14.90 | -11.55 | -10.28 | -15.27 | -16.72 | -18.31 | -20.05 | -21.95 | -24.04 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 294.27 | 232.52 | 280.18 | 379.10 | 183.89 | 393.54 | 430.93 | 471.87 | 516.70 | 565.79 |
Weighted Average Cost Of Capital
Share price | $ 21.52 |
---|---|
Beta | 1.179 |
Diluted Shares Outstanding | 164.31 |
Cost of Debt | |
Tax Rate | 22.64 |
After-tax Cost of Debt | 8.45% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 9.045 |
Total Debt | 1,090.42 |
Total Equity | 3,535.87 |
Total Capital | 4,626.29 |
Debt Weighting | 23.57 |
Equity Weighting | 76.43 |
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 | 655.34 | 654.13 | 684.56 | 699.78 | 918.88 | 1,006.18 | 1,101.77 | 1,206.44 | 1,321.06 | 1,446.56 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 302.22 | 247.41 | 291.73 | 389.38 | 199.15 | 410.26 | 449.24 | 491.92 | 538.65 | 589.83 |
Capital Expenditure | -7.95 | -14.90 | -11.55 | -10.28 | -15.27 | -16.72 | -18.31 | -20.05 | -21.95 | -24.04 |
Free Cash Flow | 294.27 | 232.52 | 280.18 | 379.10 | 183.89 | 393.54 | 430.93 | 471.87 | 516.70 | 565.79 |
WACC | ||||||||||
PV LFCF | 304.73 | 306.41 | 308.09 | 309.79 | 311.50 | |||||
SUM PV LFCF | 1,826.93 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 8.90 |
Free cash flow (t + 1) | 577.10 |
Terminal Value | 8,363.82 |
Present Value of Terminal Value | 5,460.92 |
Intrinsic Value
Enterprise Value | 7,287.85 |
---|---|
Net Debt | 365.63 |
Equity Value | 6,922.22 |
Shares Outstanding | 164.31 |
Equity Value Per Share | 42.13 |