Discounted Cash Flow (DCF) Analysis Levered

Hawthorn Bancshares, Inc. (HWBK)

$24.25

-0.42 (-1.72%)
All numbers are in Millions, Currency in USD
Stock DCF: 150.62 | 24.25 | 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 48.2450.7053.7564.1175.0883.9993.96105.12117.60131.56
Revenue (%)
Operating Cash Flow 12.4816.3019.0920.1530.6127.8431.1534.8538.9843.61
Operating Cash Flow (%)
Capital Expenditure -1.27-2.33-2.17-1.83-0.59-2.50-2.80-3.13-3.50-3.92
Capital Expenditure (%)
Free Cash Flow 11.2113.9816.9218.3230.0225.3428.3531.7235.4839.70

Weighted Average Cost Of Capital

Share price $ 24.25
Beta 0.419
Diluted Shares Outstanding 6.76
Cost of Debt
Tax Rate 20.19
After-tax Cost of Debt 3.99%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.509
Total Debt -
Total Equity 163.85
Total Capital 163.85
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 48.2450.7053.7564.1175.0883.9993.96105.12117.60131.56
Operating Cash Flow 12.4816.3019.0920.1530.6127.8431.1534.8538.9843.61
Capital Expenditure -1.27-2.33-2.17-1.83-0.59-2.50-2.80-3.13-3.50-3.92
Free Cash Flow 11.2113.9816.9218.3230.0225.3428.3531.7235.4839.70
WACC
PV LFCF 18.3719.4820.6521.9023.22
SUM PV LFCF 135.48

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.51
Free cash flow (t + 1) 40.49
Terminal Value 1,153.53
Present Value of Terminal Value 882.19

Intrinsic Value

Enterprise Value 1,017.67
Net Debt -
Equity Value 1,017.67
Shares Outstanding 6.76
Equity Value Per Share 150.62