DCF Tool

PFC

Premier Financial Corp – Savings Institutions
Premier Financial Corp., headquartered in Defiance, Ohio, is the holding company for Premier Bank and First Insurance Group. Premier Bank, headquartered in Youngstown, Ohio, operates 78 branches, 12 loan offices and 2 wealth offices in Ohio, Michigan, Indiana, Pennsylvania and West Virginia (West Virginia office operates as 'Home Savings Bank'). First Insurance Group is a full-service insurance agency with ten offices in Ohio including James & Sons Insurance in Youngstown, Ohio.
Analysis Results
Intrinsic Value $270.61
Latest Price $27.74
Relative Value 90% 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 28.2%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 28.2%, 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 198 186
2023 253 223
2024 325 269
2025 417 324
2026 535 390
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 12000 million. This corresponds to a present value of 8230 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1390 million. Adding in the terminal value gives a total present value of 9620 million.

There are presently 35.6 million outstanding shares, so the intrinsic value per share is 270.61.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 6,814,875,000
Current Cash 0
Current Liabilities 6,396,774,000
Current Debt 0
Non-Cash Working Capital (NCWC) 418,101,000
Change in NCWC 11,526,000
EBIT 154,469,000
Tax Provision 30,372,000
Depreciation and Amortization 14,600,000
Capital Expenditure -3,023,000
Unlevered Free Cash Flow 147,579,400
Current Assets 6,566,374,000
Current Cash 0
Current Liabilities 6,159,799,000
Current Debt 0
Non-Cash Working Capital (NCWC) 406,575,000
Change in NCWC 206,994,000
EBIT 98,664,000
Tax Provision 16,192,000
Depreciation and Amortization 28,417,000
Capital Expenditure -5,361,000
Unlevered Free Cash Flow 308,560,251
Current Assets 3,199,542,000
Current Cash 0
Current Liabilities 2,999,961,000
Current Debt 0
Non-Cash Working Capital (NCWC) 199,581,000
Change in NCWC 19,483,000
EBIT 60,637,000
Tax Provision 11,267,000
Depreciation and Amortization 7,159,000
Capital Expenditure -3,134,000
Unlevered Free Cash Flow 72,878,000
Current Assets 2,931,645,000
Current Cash 0
Current Liabilities 2,751,547,000
Current Debt 0
Non-Cash Working Capital (NCWC) 180,098,000
Change in NCWC 41,090,000
EBIT 56,875,000
Tax Provision 10,626,000
Depreciation and Amortization 6,341,000
Capital Expenditure -4,168,000
Unlevered Free Cash Flow 89,512,000
Current Assets 2,725,970,000
Current Cash 0
Current Liabilities 2,586,962,000
Current Debt 0
Non-Cash Working Capital (NCWC) 139,008,000
Change in NCWC 4,384,000
EBIT 48,452,000
Tax Provision 16,184,000
Depreciation and Amortization 6,320,000
Capital Expenditure -3,263,000
Unlevered Free Cash Flow 39,709,000
Current Assets 2,290,744,000
Current Cash 0
Current Liabilities 2,156,120,000
Current Debt 0
Non-Cash Working Capital (NCWC) 134,624,000
Change in NCWC 12,384,000
EBIT 41,597,000
Tax Provision 12,754,000
Depreciation and Amortization 5,615,000
Capital Expenditure -2,928,000
Unlevered Free Cash Flow 43,914,000
Current Assets 2,114,224,000
Current Cash 0
Current Liabilities 1,991,984,000
Current Debt 0
Non-Cash Working Capital (NCWC) 122,240,000
Change in NCWC 3,574,000
EBIT 37,833,000
Tax Provision 11,410,000
Depreciation and Amortization 5,586,000
Capital Expenditure -5,843,000
Unlevered Free Cash Flow 29,740,000
Current Assets 1,994,174,000
Current Cash 0
Current Liabilities 1,875,508,000
Current Debt 0
Non-Cash Working Capital (NCWC) 118,666,000
Change in NCWC 9,122,000
EBIT 33,455,000
Tax Provision 9,163,000
Depreciation and Amortization 5,455,000
Capital Expenditure -4,935,000
Unlevered Free Cash Flow 33,934,000
Current Assets 1,957,377,000
Current Cash 0
Current Liabilities 1,847,833,000
Current Debt 0
Non-Cash Working Capital (NCWC) 109,544,000
Change in NCWC 13,592,000
EBIT 31,513,000
Tax Provision 9,278,000
Depreciation and Amortization 6,449,000
Capital Expenditure -2,045,000
Unlevered Free Cash Flow 40,231,000
Current Assets 1,865,478,000
Current Cash 0
Current Liabilities 1,769,526,000
Current Debt 0
Non-Cash Working Capital (NCWC) 95,952,000
Change in NCWC -19,101,000
EBIT 26,676,000
Tax Provision 8,012,000
Depreciation and Amortization 8,391,000
Capital Expenditure -3,223,000
Unlevered Free Cash Flow 4,731,000

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