Discounted Cash Flow (DCF) Analysis Levered

PCB Bancorp (PCB)

$14.09

+0.11 (+0.79%)

All numbers are in Millions, Currency in USD

Stock DCF: 70.30 | 14.09 | undervalue

Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	80.90	77.93	95.57	104.13	113.82	124.41	135.99	148.65	162.48	177.60
Revenue (%)
Operating Cash Flow	30.12	17.09	-1.62	57.27	32	34.98	38.24	41.79	45.68	49.94
Operating Cash Flow (%)
Capital Expenditure	-0.71	-1.78	-0.43	-5.45	-2.52	-2.75	-3.01	-3.29	-3.60	-3.93
Capital Expenditure (%)
Free Cash Flow	29.41	15.31	-2.05	51.81	29.48	32.23	35.23	38.50	42.09	46

Weighted Average Cost Of Capital

Share price	$ 14.09
Beta	0.674
Diluted Shares Outstanding	15.07
Cost of Debt
Tax Rate	29.18
After-tax Cost of Debt	3.54%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.819
Total Debt	6.24
Total Equity	212.27
Total Capital	218.51
Debt Weighting	2.85
Equity Weighting	97.15
Wacc

Build Up Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	80.90	77.93	95.57	104.13	113.82	124.41	135.99	148.65	162.48	177.60
Operating Cash Flow	30.12	17.09	-1.62	57.27	32	34.98	38.24	41.79	45.68	49.94
Capital Expenditure	-0.71	-1.78	-0.43	-5.45	-2.52	-2.75	-3.01	-3.29	-3.60	-3.93
Free Cash Flow	29.41	15.31	-2.05	51.81	29.48	32.23	35.23	38.50	42.09	46
WACC
PV LFCF					29.48	30.19	30.92	31.67	32.43	33.22
SUM PV LFCF										158.44

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.73
Free cash flow (t + 1)	46.92
Terminal Value	992.06
Present Value of Terminal Value	716.32

Intrinsic Value

Enterprise Value	874.76
Net Debt	-184.28
Equity Value	1,059.04
Shares Outstanding	15.07
Equity Value Per Share	70.30