DCF Tool

KRNY

Kearny Financial Corp. – Savings Institutions
Kearny Financial Corp. is the parent company of Kearny Bank which operates from its administrative headquarters in Fairfield, New Jersey, and a total of 49 retail branch offices located throughout northern and central New Jersey and Brooklyn and Staten Island, New York. At December 31, 2020, Kearny Financial Corp. had approximately $7.3 billion in total assets.
Analysis Results
Intrinsic Value $1.98
Latest Price $12.34
Relative Value 524% overvalued
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Cash Flow (Millions)
Analysis Parameters
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Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of -19.6%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 3.4%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -19.6%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (million) Present value (million)
2022 10.4 10.0
2023 8.35 7.82
2024 6.72 6.08
2025 5.41 4.73
2026 4.35 3.68
Terminal Value

Assuming the company was sold after the projection period at an exit multiple of 30, the terminal value of the company would be 130 million. This corresponds to a present value of 107 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 32.4 million. Adding in the terminal value gives a total present value of 139 million.

There are presently 70.4 million outstanding shares, so the intrinsic value per share is 1.98.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 6,611,940,000
Current Cash 0
Current Liabilities 6,186,934,000
Current Debt 0
Non-Cash Working Capital (NCWC) 425,006,000
Change in NCWC -53,436,000
EBIT 85,792,000
Tax Provision 21,263,000
Depreciation and Amortization 6,842,000
Capital Expenditure -5,458,000
Unlevered Free Cash Flow 12,150,868
Current Assets 6,098,458,000
Current Cash 0
Current Liabilities 5,620,016,000
Current Debt 0
Non-Cash Working Capital (NCWC) 478,442,000
Change in NCWC -42,210,000
EBIT 58,231,000
Tax Provision 12,287,000
Depreciation and Amortization 5,812,000
Capital Expenditure -5,960,000
Unlevered Free Cash Flow 3,375,894
Current Assets 6,007,131,000
Current Cash 0
Current Liabilities 5,486,479,000
Current Debt 0
Non-Cash Working Capital (NCWC) 520,652,000
Change in NCWC -122,545,000
EBIT 56,080,000
Tax Provision 13,927,000
Depreciation and Amortization 5,457,000
Capital Expenditure -6,137,000
Unlevered Free Cash Flow -81,074,732
Current Assets 5,933,535,000
Current Cash 0
Current Liabilities 5,290,338,000
Current Debt 0
Non-Cash Working Capital (NCWC) 643,197,000
Change in NCWC -30,215,000
EBIT 40,762,000
Tax Provision 14,404,000
Depreciation and Amortization 3,588,000
Capital Expenditure -8,268,000
Unlevered Free Cash Flow -11,401,701
Current Assets 4,418,478,000
Current Cash 0
Current Liabilities 3,745,066,000
Current Debt 0
Non-Cash Working Capital (NCWC) 673,412,000
Change in NCWC -123,735,000
EBIT 27,529,000
Tax Provision 8,820,000
Depreciation and Amortization 2,981,000
Capital Expenditure -4,035,000
Unlevered Free Cash Flow -106,114,092
Current Assets 4,114,309,000
Current Cash 0
Current Liabilities 3,317,162,000
Current Debt 0
Non-Cash Working Capital (NCWC) 797,147,000
Change in NCWC -24,548,000
EBIT 22,742,000
Tax Provision 6,783,000
Depreciation and Amortization 3,155,000
Capital Expenditure -2,193,000
Unlevered Free Cash Flow -7,668,109
Current Assets 3,867,887,000
Current Cash 0
Current Liabilities 3,046,192,000
Current Debt 0
Non-Cash Working Capital (NCWC) 821,695,000
Change in NCWC 592,570,000
EBIT 15,153,000
Tax Provision -1,269,000
Depreciation and Amortization 3,135,000
Capital Expenditure -2,052,000
Unlevered Free Cash Flow 608,806,000
Current Assets 3,230,324,000
Current Cash 0
Current Liabilities 3,001,199,000
Current Debt 0
Non-Cash Working Capital (NCWC) 229,125,000
Change in NCWC 18,228,000
EBIT 15,237,000
Tax Provision 4,217,000
Depreciation and Amortization 2,767,000
Capital Expenditure -3,560,000
Unlevered Free Cash Flow 28,211,435
Current Assets 2,876,940,000
Current Cash 0
Current Liabilities 2,666,043,000
Current Debt 0
Non-Cash Working Capital (NCWC) 210,897,000
Change in NCWC -78,111,000
EBIT 9,531,000
Tax Provision 2,250,000
Depreciation and Amortization 2,748,000
Capital Expenditure -1,042,000
Unlevered Free Cash Flow -69,323,149
Current Assets 2,716,556,000
Current Cash 0
Current Liabilities 2,427,548,000
Current Debt 0
Non-Cash Working Capital (NCWC) 289,008,000
Change in NCWC -9,839,000
EBIT 11,184,000
Tax Provision 2,776,000
Depreciation and Amortization 2,820,000
Capital Expenditure -1,797,000
Unlevered Free Cash Flow -1,584,990

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