Discounted Cash Flow (DCF) Analysis Levered

Independent Bank Group, Inc. (IBTX)

$39.55

+0.07 (+0.18%)
All numbers are in Millions, Currency in USD
Stock DCF: 74.19 | 39.55 | 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 368.35580.65601.14587.14610.17705.90816.65944.771,092.991,264.47
Revenue (%)
Operating Cash Flow 158.74173.32154.30277.43217.23256.19296.38342.88396.68458.91
Operating Cash Flow (%)
Capital Expenditure -38.11-31.68-21.14-71.36-62.96-59-68.25-78.96-91.35-105.68
Capital Expenditure (%)
Free Cash Flow 120.63141.64133.16206.08154.27197.19228.13263.92305.33353.23

Weighted Average Cost Of Capital

Share price $ 39.55
Beta 1.389
Diluted Shares Outstanding 43.10
Cost of Debt
Tax Rate 20.30
After-tax Cost of Debt 12.42%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.129
Total Debt 621.49
Total Equity 1,704.77
Total Capital 2,326.25
Debt Weighting 26.72
Equity Weighting 73.28
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 368.35580.65601.14587.14610.17705.90816.65944.771,092.991,264.47
Operating Cash Flow 158.74173.32154.30277.43217.23256.19296.38342.88396.68458.91
Capital Expenditure -38.11-31.68-21.14-71.36-62.96-59-68.25-78.96-91.35-105.68
Free Cash Flow 120.63141.64133.16206.08154.27197.19228.13263.92305.33353.23
WACC
PV LFCF 176.90183.60190.55197.76205.24
SUM PV LFCF 954.05

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.47
Free cash flow (t + 1) 360.30
Terminal Value 3,804.60
Present Value of Terminal Value 2,210.65

Intrinsic Value

Enterprise Value 3,164.69
Net Debt -33.33
Equity Value 3,198.03
Shares Outstanding 43.10
Equity Value Per Share 74.19