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USCB Financial Holdings, Inc. (USCB)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$11.10 - $15.97$13.48
Multi-Stage$17.72 - $19.48$18.58
Blended Fair Value$16.03
Current Price$17.45
Upside-8.13%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS0.00%0.00%0.000.000.000.000.000.090.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%-100.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.00%0.00%0.00%0.00%0.00%0.84%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)31.64
(-) Cash Dividends Paid (M)5.92
(=) Cash Retained (M)25.73
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)6.333.962.37
Cash Retained (M)25.7325.7325.73
(-) Cash Required (M)-6.33-3.96-2.37
(=) Excess Retained (M)19.4021.7723.35
(/) Shares Outstanding (M)20.1420.1420.14
(=) Excess Retained per Share0.961.081.16
LTM Dividend per Share0.290.290.29
(+) Excess Retained per Share0.961.081.16
(=) Adjusted Dividend1.261.371.45
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-2.00%-1.00%0.00%
Fair Value$11.10$13.48$15.97
Upside / Downside-36.39%-22.76%-8.45%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)31.6431.3231.0130.7030.3930.0930.99
Payout Ratio18.70%32.96%47.22%61.48%75.74%90.00%92.50%
Projected Dividends (M)5.9210.3214.6418.8723.0227.0828.67

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)9.379.469.56
Year 2 PV (M)12.0612.3012.55
Year 3 PV (M)14.1014.5414.98
Year 4 PV (M)15.6016.2516.92
Year 5 PV (M)16.6517.5218.43
PV of Terminal Value (M)289.13304.18319.86
Equity Value (M)356.91374.26392.29
Shares Outstanding (M)20.1420.1420.14
Fair Value$17.72$18.58$19.48
Upside / Downside1.57%6.50%11.64%

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