Discounted Cash Flow (DCF) Analysis Levered

Veritex Holdings, Inc. (VBTX)

$19.74

+0.11 (+0.56%)
All numbers are in Millions, Currency in USD
Stock DCF: 161.53 | 19.74 | undervalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 315.18313.14333.43422.62776.571,002.421,293.961,670.282,156.062,783.11
Revenue (%)
Operating Cash Flow 103.96107.65193.49192.73267.83411.96531.78686.44886.071,143.77
Operating Cash Flow (%)
Capital Expenditure -7.66-2.86-13.58-4.62-16.52-21.32-27.53-35.53-45.86-59.20
Capital Expenditure (%)
Free Cash Flow 96.30104.79179.92188.11251.31390.64504.25650.90840.211,084.57

Weighted Average Cost Of Capital

Share price $ 19.74
Beta 1.364
Diluted Shares Outstanding 54.60
Cost of Debt
Tax Rate 24.97
After-tax Cost of Debt 12.15%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.597
Total Debt 329.78
Total Equity 1,077.73
Total Capital 1,407.51
Debt Weighting 23.43
Equity Weighting 76.57
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 315.18313.14333.43422.62776.571,002.421,293.961,670.282,156.062,783.11
Operating Cash Flow 103.96107.65193.49192.73267.83411.96531.78686.44886.071,143.77
Capital Expenditure -7.66-2.86-13.58-4.62-16.52-21.32-27.53-35.53-45.86-59.20
Free Cash Flow 96.30104.79179.92188.11251.31390.64504.25650.90840.211,084.57
WACC
PV LFCF 285.94332.65386.98450.18523.71
SUM PV LFCF 2,437.13

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.96
Free cash flow (t + 1) 1,106.26
Terminal Value 12,346.67
Present Value of Terminal Value 7,340.37

Intrinsic Value

Enterprise Value 9,777.50
Net Debt 958.85
Equity Value 8,818.65
Shares Outstanding 54.60
Equity Value Per Share 161.53