Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

First Community Corporation (FCCO)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$70.41 - $273.57$119.31
Multi-Stage$44.15 - $48.27$46.17
Blended Fair Value$82.74
Current Price$28.22
Upside193.20%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS5.96%11.52%0.570.550.500.460.460.430.390.320.270.24
YoY Growth--4.25%8.23%8.91%0.56%8.08%9.00%22.64%16.82%15.49%23.52%
Dividend Yield--2.52%3.16%2.52%2.18%2.31%2.71%1.98%1.39%1.24%1.64%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)18.61
(-) Cash Dividends Paid (M)4.67
(=) Cash Retained (M)13.94
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3.722.331.40
Cash Retained (M)13.9413.9413.94
(-) Cash Required (M)-3.72-2.33-1.40
(=) Excess Retained (M)10.2211.6212.55
(/) Shares Outstanding (M)7.777.777.77
(=) Excess Retained per Share1.321.491.61
LTM Dividend per Share0.600.600.60
(+) Excess Retained per Share1.321.491.61
(=) Adjusted Dividend1.922.102.22
WACC / Discount Rate8.37%8.37%8.37%
Growth Rate5.50%6.50%7.50%
Fair Value$70.41$119.31$273.57
Upside / Downside149.52%322.79%869.44%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)18.6119.8221.1022.4823.9425.4926.26
Payout Ratio25.08%38.06%51.05%64.03%77.02%90.00%92.50%
Projected Dividends (M)4.677.5410.7714.3918.4422.9424.29

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.37%8.37%8.37%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)6.896.967.03
Year 2 PV (M)9.009.179.35
Year 3 PV (M)10.9911.3111.63
Year 4 PV (M)12.8713.3713.88
Year 5 PV (M)14.6415.3516.08
PV of Terminal Value (M)288.64302.58317.05
Equity Value (M)343.04358.74375.01
Shares Outstanding (M)7.777.777.77
Fair Value$44.15$46.17$48.27
Upside / Downside56.45%63.61%71.03%

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