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PCB Bancorp (PCB)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$57.54 - $152.64$87.98
Multi-Stage$39.73 - $43.38$41.52
Blended Fair Value$64.75
Current Price$21.00
Upside208.35%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS20.99%0.00%0.710.690.620.460.430.280.120.110.100.06
YoY Growth--3.66%10.75%34.43%8.16%55.30%125.11%9.38%16.59%56.46%0.00%
Dividend Yield--3.82%4.35%4.30%2.02%2.85%2.82%0.70%0.74%0.77%0.64%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)35.25
(-) Cash Dividends Paid (M)11.18
(=) Cash Retained (M)24.07
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)7.054.412.64
Cash Retained (M)24.0724.0724.07
(-) Cash Required (M)-7.05-4.41-2.64
(=) Excess Retained (M)17.0219.6621.42
(/) Shares Outstanding (M)14.3714.3714.37
(=) Excess Retained per Share1.181.371.49
LTM Dividend per Share0.780.780.78
(+) Excess Retained per Share1.181.371.49
(=) Adjusted Dividend1.962.152.27
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Fair Value$57.54$87.98$152.64
Upside / Downside174.00%318.97%626.84%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)35.2537.5439.9842.5845.3548.2949.74
Payout Ratio31.72%43.37%55.03%66.69%78.34%90.00%92.50%
Projected Dividends (M)11.1816.2822.0028.3935.5343.4646.01

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)14.7814.9215.06
Year 2 PV (M)18.1418.4818.83
Year 3 PV (M)21.2621.8722.49
Year 4 PV (M)24.1525.0826.03
Year 5 PV (M)26.8328.1229.47
PV of Terminal Value (M)465.70488.19511.55
Equity Value (M)570.85596.67623.43
Shares Outstanding (M)14.3714.3714.37
Fair Value$39.73$41.52$43.38
Upside / Downside89.17%97.72%106.59%

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