Discounted Cash Flow (DCF) Analysis Unlevered
Carter Bankshares, Inc. (CARE)
$16.09
-0.18 (-1.11%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 112.25 | 119.90 | 121.73 | 127.95 | 133.66 | 139.65 | 145.90 | 152.44 | 159.27 | 166.40 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 22.05 | 56.10 | 79.89 | -3.12 | 58.41 | 48.41 | 50.58 | 52.84 | 55.21 | 57.68 |
| EBITDA (%) | ||||||||||
| EBIT | 18.90 | 52.42 | 74.56 | -9.26 | 53.38 | 43.15 | 45.08 | 47.10 | 49.21 | 51.42 |
| EBIT (%) | ||||||||||
| Depreciation | 3.15 | 3.68 | 5.33 | 6.14 | 5.03 | 5.26 | 5.49 | 5.74 | 6 | 6.26 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Total Cash | 1,215.81 | 1,076.32 | 868.43 | 1,020.62 | 1,200.20 | 1,226.06 | 1,280.96 | 1,338.33 | 1,398.26 | 1,460.88 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | - | - | - | - | - | - | - | - | - | - |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -3.11 | -14.61 | -8.45 | -10.12 | -9.96 | -10.41 | -10.88 | -11.36 | -11.87 | -12.40 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 16.09 |
|---|---|
| Beta | 1.029 |
| Diluted Shares Outstanding | 26.34 |
| Cost of Debt | |
| Tax Rate | 11.51 |
| After-tax Cost of Debt | 287.15% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.373 |
| Total Debt | 7 |
| Total Equity | 423.85 |
| Total Capital | 430.85 |
| Debt Weighting | 1.62 |
| Equity Weighting | 98.38 |
| Wacc |
Build Up Free Cash
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 112.25 | 119.90 | 121.73 | 127.95 | 133.66 | 139.65 | 145.90 | 152.44 | 159.27 | 166.40 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 22.05 | 56.10 | 79.89 | -3.12 | 58.41 | 48.41 | 50.58 | 52.84 | 55.21 | 57.68 |
| EBIT | 18.90 | 52.42 | 74.56 | -9.26 | 53.38 | 43.15 | 45.08 | 47.10 | 49.21 | 51.42 |
| Tax Rate | 96.26% | 16.79% | 4.35% | -1.71% | 11.51% | 25.44% | 25.44% | 25.44% | 25.44% | 25.44% |
| EBIAT | 0.71 | 43.62 | 71.31 | -9.42 | 47.24 | 32.17 | 33.61 | 35.12 | 36.69 | 38.34 |
| Depreciation | 3.15 | 3.68 | 5.33 | 6.14 | 5.03 | 5.26 | 5.49 | 5.74 | 6 | 6.26 |
| Accounts Receivable | - | - | - | - | - | - | - | - | - | - |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure | -3.11 | -14.61 | -8.45 | -10.12 | -9.96 | -10.41 | -10.88 | -11.36 | -11.87 | -12.40 |
| UFCF | 0.74 | 32.69 | 68.19 | -13.40 | 42.31 | 27.02 | 28.23 | 29.50 | 30.82 | 32.20 |
| WACC | ||||||||||
| PV UFCF | 23.94 | 22.15 | 20.50 | 18.97 | 17.55 | |||||
| SUM PV UFCF | 103.10 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 12.90 |
| Free cash flow (t + 1) | 32.84 |
| Terminal Value | 301.31 |
| Present Value of Terminal Value | 164.26 |
Intrinsic Value
| Enterprise Value | 267.37 |
|---|---|
| Net Debt | -270.80 |
| Equity Value | 538.17 |
| Shares Outstanding | 26.34 |
| Equity Value Per Share | 20.43 |