Discounted Cash Flow (DCF) Analysis Levered

MetroCity Bankshares, Inc. (MCBS)

$17.48

-0.30 (-1.69%)

All numbers are in Millions, Currency in USD

Stock DCF: 69.57 | 17.48 | 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	95.81	100.87	91.47	134.75	134.68	149.23	165.35	183.22	203.02	224.96
Revenue (%)
Operating Cash Flow	-160.92	32.20	142.56	65.43	134.69	50.26	55.69	61.71	68.38	75.76
Operating Cash Flow (%)
Capital Expenditure	-2.86	-1.10	-0.54	-0.38	-2.35	-2	-2.21	-2.45	-2.72	-3.01
Capital Expenditure (%)
Free Cash Flow	-163.77	31.10	142.02	65.05	132.34	48.26	53.48	59.26	65.66	72.76

Weighted Average Cost Of Capital

Share price	$ 17.48
Beta	0.387
Diluted Shares Outstanding	25.72
Cost of Debt
Tax Rate	31.37
After-tax Cost of Debt	4.93%
Risk-Free Rate
Market Risk Premium
Cost of Equity	5.522
Total Debt	384.28
Total Equity	449.59
Total Capital	833.86
Debt Weighting	46.08
Equity Weighting	53.92
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	95.81	100.87	91.47	134.75	134.68	149.23	165.35	183.22	203.02	224.96
Operating Cash Flow	-160.92	32.20	142.56	65.43	134.69	50.26	55.69	61.71	68.38	75.76
Capital Expenditure	-2.86	-1.10	-0.54	-0.38	-2.35	-2	-2.21	-2.45	-2.72	-3.01
Free Cash Flow	-163.77	31.10	142.02	65.05	132.34	48.26	53.48	59.26	65.66	72.76
WACC
PV LFCF						45.86	48.28	50.82	53.51	56.33
SUM PV LFCF										254.80

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.25
Free cash flow (t + 1)	74.21
Terminal Value	2,283.40
Present Value of Terminal Value	1,767.95

Intrinsic Value

Enterprise Value	2,022.75
Net Debt	233.31
Equity Value	1,789.44
Shares Outstanding	25.72
Equity Value Per Share	69.57