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CF Bankshares Inc. (CFBK)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$42.49 - $83.70$58.72
Multi-Stage$37.71 - $41.27$39.46
Blended Fair Value$49.09
Current Price$23.97
Upside104.79%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.00%0.00%0.260.230.180.130.030.000.000.000.000.00
YoY Growth--9.35%28.01%35.97%334.87%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--1.16%1.20%0.93%0.60%0.15%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)16.07
(-) Cash Dividends Paid (M)1.75
(=) Cash Retained (M)14.32
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3.212.011.21
Cash Retained (M)14.3214.3214.32
(-) Cash Required (M)-3.21-2.01-1.21
(=) Excess Retained (M)11.1012.3113.11
(/) Shares Outstanding (M)6.336.336.33
(=) Excess Retained per Share1.761.952.07
LTM Dividend per Share0.280.280.28
(+) Excess Retained per Share1.761.952.07
(=) Adjusted Dividend2.032.222.35
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate4.12%5.12%6.12%
Fair Value$42.49$58.72$83.70
Upside / Downside77.28%144.96%249.20%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)16.0716.8917.7518.6619.6220.6221.24
Payout Ratio10.89%26.71%42.54%58.36%74.18%90.00%92.50%
Projected Dividends (M)1.754.517.5510.8914.5518.5619.65

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate4.12%5.12%6.12%
Year 1 PV (M)4.104.144.17
Year 2 PV (M)6.226.346.47
Year 3 PV (M)8.158.398.63
Year 4 PV (M)9.8910.2710.67
Year 5 PV (M)11.4512.0112.59
PV of Terminal Value (M)198.75208.48218.59
Equity Value (M)238.56249.63261.12
Shares Outstanding (M)6.336.336.33
Fair Value$37.71$39.46$41.27
Upside / Downside57.31%64.62%72.19%

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