Discounted Cash Flow (DCF) Analysis Levered

Investar Holding Corporation (ISTR)

$19.9

-0.08 (-0.40%)
All numbers are in Millions, Currency in USD
Stock DCF: 64.25 | 19.9 | 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 46.2061.5971.0485.6796.26115.90139.55168.01202.29243.56
Revenue (%)
Operating Cash Flow 9.4616.4118.5717.7522.6127.2332.7839.4747.5257.22
Operating Cash Flow (%)
Capital Expenditure -2.08-4.94-7.92-7.59-7.83-9.42-11.35-13.66-16.45-19.80
Capital Expenditure (%)
Free Cash Flow 7.3811.4810.6510.1614.7917.8021.4425.8131.0737.41

Weighted Average Cost Of Capital

Share price $ 19.9
Beta 0.456
Diluted Shares Outstanding 10.94
Cost of Debt
Tax Rate 19.27
After-tax Cost of Debt 7.29%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.956
Total Debt 129.87
Total Equity 217.63
Total Capital 347.50
Debt Weighting 37.37
Equity Weighting 62.63
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 46.2061.5971.0485.6796.26115.90139.55168.01202.29243.56
Operating Cash Flow 9.4616.4118.5717.7522.6127.2332.7839.4747.5257.22
Capital Expenditure -2.08-4.94-7.92-7.59-7.83-9.42-11.35-13.66-16.45-19.80
Free Cash Flow 7.3811.4810.6510.1614.7917.8021.4425.8131.0737.41
WACC
PV LFCF 16.7218.9221.4024.2027.37
SUM PV LFCF 108.61

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.45
Free cash flow (t + 1) 38.16
Terminal Value 857.55
Present Value of Terminal Value 627.38

Intrinsic Value

Enterprise Value 735.99
Net Debt 33.33
Equity Value 702.65
Shares Outstanding 10.94
Equity Value Per Share 64.25