Discounted Cash Flow (DCF) Analysis Levered

Peoples Bancorp of North Carolina, ... (PEBK)

$21.625

-0.07 (-0.35%)

All numbers are in Millions, Currency in USD

Stock DCF: 12.81 | 21.625 | overvalue

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	56.91	60.16	61.76	61.78	1.14	0.88	0.69	0.53	0.41	0.32
Revenue (%)
Operating Cash Flow	17.19	13.20	9.16	26.90	22.66	3.71	2.88	2.23	1.73	1.34
Operating Cash Flow (%)
Capital Expenditure	-1.74	-2.84	-2.49	-0.48	-4.56	-0.73	-0.57	-0.44	-0.34	-0.26
Capital Expenditure (%)
Free Cash Flow	15.45	10.36	6.67	26.42	18.09	2.98	2.31	1.79	1.39	1.08

Weighted Average Cost Of Capital

Share price	$ 21.625
Beta	0.675
Diluted Shares Outstanding	5.82
Cost of Debt
Tax Rate	20.56
After-tax Cost of Debt	17.07%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.742
Total Debt	15.46
Total Equity	125.95
Total Capital	141.41
Debt Weighting	10.94
Equity Weighting	89.06
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	56.91	60.16	61.76	61.78	1.14	0.88	0.69	0.53	0.41	0.32
Operating Cash Flow	17.19	13.20	9.16	26.90	22.66	3.71	2.88	2.23	1.73	1.34
Capital Expenditure	-1.74	-2.84	-2.49	-0.48	-4.56	-0.73	-0.57	-0.44	-0.34	-0.26
Free Cash Flow	15.45	10.36	6.67	26.42	18.09	2.98	2.31	1.79	1.39	1.08
WACC
PV LFCF						2.32	1.65	1.18	0.84	0.60
SUM PV LFCF										7.79

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	8.76
Free cash flow (t + 1)	1.10
Terminal Value	16.27
Present Value of Terminal Value	10.69

Intrinsic Value

Enterprise Value	18.48
Net Debt	-56.13
Equity Value	74.61
Shares Outstanding	5.82
Equity Value Per Share	12.81