Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

The Community Financial Corporation (TCFC)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$153.09 - $597.91$259.71
Multi-Stage$94.68 - $103.57$99.05
Blended Fair Value$179.38
Current Price$33.13
Upside441.44%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2022202120202019201820172016201520142013
DPS15.78%10.19%0.660.560.500.470.380.320.320.340.360.28
YoY Growth--18.39%12.45%5.66%23.35%19.90%-0.55%-5.32%-6.76%30.15%11.07%
Dividend Yield--2.00%1.39%1.46%2.14%1.36%0.86%0.89%1.60%1.82%1.33%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)29.36
(-) Cash Dividends Paid (M)3.74
(=) Cash Retained (M)25.62
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)5.873.672.20
Cash Retained (M)25.6225.6225.62
(-) Cash Required (M)-5.87-3.67-2.20
(=) Excess Retained (M)19.7521.9523.42
(/) Shares Outstanding (M)5.655.655.65
(=) Excess Retained per Share3.493.884.14
LTM Dividend per Share0.660.660.66
(+) Excess Retained per Share3.493.884.14
(=) Adjusted Dividend4.164.554.81
WACC / Discount Rate8.36%8.36%8.36%
Growth Rate5.50%6.50%7.50%
Fair Value$153.09$259.71$597.91
Upside / Downside362.09%683.93%1,704.73%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)29.3631.2633.3035.4637.7740.2241.43
Payout Ratio12.72%28.18%43.63%59.09%74.54%90.00%92.50%
Projected Dividends (M)3.748.8114.5320.9528.1536.2038.32

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.36%8.36%8.36%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)8.058.138.21
Year 2 PV (M)12.1412.3712.61
Year 3 PV (M)16.0116.4716.93
Year 4 PV (M)19.6620.4221.19
Year 5 PV (M)23.1124.2225.38
PV of Terminal Value (M)456.07478.10500.97
Equity Value (M)535.04559.70585.29
Shares Outstanding (M)5.655.655.65
Fair Value$94.68$99.05$103.57
Upside / Downside185.79%198.96%212.63%

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