Discounted Cash Flow (DCF) Analysis Levered

RBB Bancorp (RBB)

$12.57

-0.24 (-1.87%)

All numbers are in Millions, Currency in USD

Stock DCF: 505.34 | 12.57 | 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	89.93	115.03	118.71	143.01	159.85	185.17	214.50	248.48	287.84	333.44
Revenue (%)
Operating Cash Flow	-84.65	476.47	124.51	202.17	226.32	262.17	303.70	351.80	407.53	472.08
Operating Cash Flow (%)
Capital Expenditure	-2.49	-1.35	-4.21	-1.99	-3.55	-4.11	-4.76	-5.51	-6.39	-7.40
Capital Expenditure (%)
Free Cash Flow	-87.14	475.12	120.31	200.19	222.77	258.06	298.94	346.29	401.15	464.69

Weighted Average Cost Of Capital

Share price	$ 12.57
Beta	0.812
Diluted Shares Outstanding	19.83
Cost of Debt
Tax Rate	29.58
After-tax Cost of Debt	5.08%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.545
Total Debt	434.83
Total Equity	249.32
Total Capital	684.15
Debt Weighting	63.56
Equity Weighting	36.44
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	89.93	115.03	118.71	143.01	159.85	185.17	214.50	248.48	287.84	333.44
Operating Cash Flow	-84.65	476.47	124.51	202.17	226.32	262.17	303.70	351.80	407.53	472.08
Capital Expenditure	-2.49	-1.35	-4.21	-1.99	-3.55	-4.11	-4.76	-5.51	-6.39	-7.40
Free Cash Flow	-87.14	475.12	120.31	200.19	222.77	258.06	298.94	346.29	401.15	464.69
WACC
PV LFCF						243.50	266.16	290.92	317.98	347.57
SUM PV LFCF										1,466.13

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.98
Free cash flow (t + 1)	473.98
Terminal Value	11,909.07
Present Value of Terminal Value	8,907.55

Intrinsic Value

Enterprise Value	10,373.68
Net Debt	350.68
Equity Value	10,023
Shares Outstanding	19.83
Equity Value Per Share	505.34