Discounted Cash Flow (DCF) Analysis Levered

Summit State Bank (SSBI)

$15.4

+0.15 (+0.98%)

All numbers are in Millions, Currency in USD

Stock DCF: 120.18 | 15.4 | 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	20.29	23.93	25.64	34.71	42.06	50.64	60.98	73.43	88.42	106.47
Revenue (%)
Operating Cash Flow	4.24	3.75	4.14	3.72	52.02	18.95	22.82	27.48	33.09	39.84
Operating Cash Flow (%)
Capital Expenditure	-0.20	-0.87	-1	-0.13	-0.09	-0.92	-1.11	-1.34	-1.61	-1.94
Capital Expenditure (%)
Free Cash Flow	4.04	2.88	3.14	3.59	51.93	18.03	21.71	26.14	31.48	37.90

Weighted Average Cost Of Capital

Share price	$ 15.4
Beta	0.555
Diluted Shares Outstanding	6.68
Cost of Debt
Tax Rate	29.61
After-tax Cost of Debt	5.65%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.310
Total Debt	54.39
Total Equity	102.89
Total Capital	157.28
Debt Weighting	34.58
Equity Weighting	65.42
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	20.29	23.93	25.64	34.71	42.06	50.64	60.98	73.43	88.42	106.47
Operating Cash Flow	4.24	3.75	4.14	3.72	52.02	18.95	22.82	27.48	33.09	39.84
Capital Expenditure	-0.20	-0.87	-1	-0.13	-0.09	-0.92	-1.11	-1.34	-1.61	-1.94
Free Cash Flow	4.04	2.88	3.14	3.59	51.93	18.03	21.71	26.14	31.48	37.90
WACC
PV LFCF						17	19.29	21.90	24.86	28.22
SUM PV LFCF										111.26

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.08
Free cash flow (t + 1)	38.66
Terminal Value	947.53
Present Value of Terminal Value	705.38

Intrinsic Value

Enterprise Value	816.64
Net Debt	13.69
Equity Value	802.95
Shares Outstanding	6.68
Equity Value Per Share	120.18