DCF Tool

OCFC

OceanFirst Financial Corp. – Savings Institutions
OceanFirst Financial Corp.'s subsidiary, OceanFirst Bank N.A., founded in 1902, is a $10.2 billion regional bank operating throughout New Jersey, metropolitan Philadelphia and metropolitan New York City. OceanFirst Bank delivers commercial and residential financing solutions, trust and asset management and deposit services and is one of the largest and oldest community-based financial institutions headquartered in New Jersey.
Analysis Results
Intrinsic Value $201.80
Latest Price $18.64
Relative Value 91% undervalued
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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 24.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 24.3%, 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 208 197
2023 259 232
2024 321 274
2025 399 323
2026 496 380
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 14600 million. This corresponds to a present value of 10600 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1410 million. Adding in the terminal value gives a total present value of 12000 million.

There are presently 59.4 million outstanding shares, so the intrinsic value per share is 201.8.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 10,629,510,000
Current Cash 0
Current Liabilities 10,099,127,000
Current Debt 0
Non-Cash Working Capital (NCWC) 530,383,000
Change in NCWC 51,702,000
EBIT 148,936,000
Tax Provision 32,165,000
Depreciation and Amortization 14,810,000
Capital Expenditure -42,039,000
Unlevered Free Cash Flow 139,730,057
Current Assets 10,285,418,000
Current Cash 0
Current Liabilities 9,806,737,000
Current Debt 0
Non-Cash Working Capital (NCWC) 478,681,000
Change in NCWC 227,322,000
EBIT 88,799,000
Tax Provision 17,733,000
Depreciation and Amortization 14,639,000
Capital Expenditure -14,728,000
Unlevered Free Cash Flow 296,601,671
Current Assets 7,279,867,000
Current Cash 0
Current Liabilities 7,028,508,000
Current Debt 0
Non-Cash Working Capital (NCWC) 251,359,000
Change in NCWC 13,782,000
EBIT 126,644,000
Tax Provision 18,784,000
Depreciation and Amortization 8,363,000
Capital Expenditure -5,075,000
Unlevered Free Cash Flow 121,555,605
Current Assets 6,676,885,000
Current Cash 0
Current Liabilities 6,439,308,000
Current Debt 0
Non-Cash Working Capital (NCWC) 237,577,000
Change in NCWC 72,185,000
EBIT 115,763,000
Tax Provision 13,570,000
Depreciation and Amortization 8,706,000
Capital Expenditure -11,487,000
Unlevered Free Cash Flow 166,794,284
Current Assets 4,944,224,000
Current Cash 0
Current Liabilities 4,778,832,000
Current Debt 0
Non-Cash Working Capital (NCWC) 165,392,000
Change in NCWC 14,665,000
EBIT 79,823,000
Tax Provision 22,855,000
Depreciation and Amortization 6,303,000
Capital Expenditure -48,698,000
Unlevered Free Cash Flow 24,165,641
Current Assets 4,729,499,000
Current Cash 0
Current Liabilities 4,578,772,000
Current Debt 0
Non-Cash Working Capital (NCWC) 150,727,000
Change in NCWC 48,773,000
EBIT 51,733,000
Tax Provision 12,153,000
Depreciation and Amortization 4,786,000
Capital Expenditure -6,670,000
Unlevered Free Cash Flow 80,760,380
Current Assets 2,448,510,000
Current Cash 0
Current Liabilities 2,346,556,000
Current Debt 0
Non-Cash Working Capital (NCWC) 101,954,000
Change in NCWC 4,370,000
EBIT 33,083,000
Tax Provision 10,883,000
Depreciation and Amortization 3,335,000
Capital Expenditure -3,891,000
Unlevered Free Cash Flow 25,359,032
Current Assets 2,224,592,000
Current Cash 0
Current Liabilities 2,127,008,000
Current Debt 0
Non-Cash Working Capital (NCWC) 97,584,000
Change in NCWC -3,574,000
EBIT 30,531,000
Tax Provision 10,611,000
Depreciation and Amortization 2,916,000
Capital Expenditure -3,970,000
Unlevered Free Cash Flow 15,292,000
Current Assets 2,125,196,000
Current Cash 0
Current Liabilities 2,024,038,000
Current Debt 0
Non-Cash Working Capital (NCWC) 101,158,000
Change in NCWC -8,978,000
EBIT 25,522,000
Tax Provision 8,613,000
Depreciation and Amortization 2,832,000
Capital Expenditure -4,283,000
Unlevered Free Cash Flow 6,280,067
Current Assets 2,150,484,000
Current Cash 0
Current Liabilities 2,040,348,000
Current Debt 0
Non-Cash Working Capital (NCWC) 110,136,000
Change in NCWC -3,202,000
EBIT 30,947,000
Tax Provision 10,927,000
Depreciation and Amortization 2,626,000
Capital Expenditure -2,600,000
Unlevered Free Cash Flow 16,844,000

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