DCF Tool

UMPQ

Umpqua Holdings Corp – Savings Institutions
Umpqua Holdings Corporation is the parent company of Umpqua Bank, an Oregon-based community bank recognized for its entrepreneurial approach, innovative customer experience, and distinctive banking solutions. Umpqua Bank has locations across Oregon, Washington, California, Idaho and Nevada. Umpqua Holdings also owns a retail brokerage subsidiary, Umpqua Investments, Inc., which has locations in Umpqua Bank stores and in dedicated offices in Oregon. Umpqua Holdings Corporation is headquartered in Portland, Oregon.
Analysis Results
Intrinsic Value $57.73
Latest Price $19.35
Relative Value 66% 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 6.9%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 7.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 6.9%, 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 650 603
2023 695 598
2024 743 593
2025 794 588
2026 848 583
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 15000 million. This corresponds to a present value of 9560 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 2970 million. Adding in the terminal value gives a total present value of 12500 million.

There are presently 217.0 million outstanding shares, so the intrinsic value per share is 57.73.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 29,849,570,000
Current Cash 0
Current Liabilities 27,474,383,000
Current Debt 0
Non-Cash Working Capital (NCWC) 2,375,187,000
Change in NCWC 37,390,000
EBIT 574,854,000
Tax Provision 137,860,000
Depreciation and Amortization 31,498,000
Capital Expenditure -15,478,000
Unlevered Free Cash Flow 486,280,747
Current Assets 28,450,349,000
Current Cash 0
Current Liabilities 26,112,552,000
Current Debt 0
Non-Cash Working Capital (NCWC) 2,337,797,000
Change in NCWC 257,678,000
EBIT 327,747,000
Tax Provision 67,000,000
Depreciation and Amortization 37,474,000
Capital Expenditure 0
Unlevered Free Cash Flow 622,899,000
Current Assets 26,142,874,000
Current Cash 0
Current Liabilities 24,062,755,000
Current Debt 0
Non-Cash Working Capital (NCWC) 2,080,119,000
Change in NCWC 342,676,000
EBIT 389,291,000
Tax Provision 114,808,000
Depreciation and Amortization 43,286,000
Capital Expenditure 0
Unlevered Free Cash Flow 679,937,505
Current Assets 24,313,462,000
Current Cash 0
Current Liabilities 22,576,019,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,737,443,000
Change in NCWC 56,023,000
EBIT 425,037,000
Tax Provision 106,423,000
Depreciation and Amortization 52,345,000
Capital Expenditure 0
Unlevered Free Cash Flow 426,390,070
Current Assets 23,104,140,000
Current Cash 0
Current Liabilities 21,422,720,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,681,420,000
Change in NCWC 163,745,000
EBIT 350,722,000
Tax Provision 95,936,000
Depreciation and Amortization 57,968,000
Capital Expenditure -4,278,000
Unlevered Free Cash Flow 469,761,404
Current Assets 22,107,145,000
Current Cash 0
Current Liabilities 20,589,470,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,517,675,000
Change in NCWC 207,119,000
EBIT 380,875,000
Tax Provision 132,759,000
Depreciation and Amortization 59,256,000
Capital Expenditure -30,313,000
Unlevered Free Cash Flow 478,668,686
Current Assets 20,567,785,000
Current Cash 0
Current Liabilities 19,257,229,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,310,556,000
Change in NCWC 187,028,000
EBIT 394,603,000
Tax Provision 124,588,000
Depreciation and Amortization 51,593,000
Capital Expenditure -69,341,000
Unlevered Free Cash Flow 422,255,300
Current Assets 19,686,213,000
Current Cash 0
Current Liabilities 18,562,685,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,123,528,000
Change in NCWC 440,314,000
EBIT 315,249,000
Tax Provision 81,296,000
Depreciation and Amortization 33,873,000
Capital Expenditure -62,167,000
Unlevered Free Cash Flow 615,264,233
Current Assets 10,466,423,000
Current Cash 0
Current Liabilities 9,783,209,000
Current Debt 0
Non-Cash Working Capital (NCWC) 683,214,000
Change in NCWC -45,638,000
EBIT 159,865,000
Tax Provision 52,668,000
Depreciation and Amortization 18,267,000
Capital Expenditure -33,995,000
Unlevered Free Cash Flow 42,749,641
Current Assets 10,694,873,000
Current Cash 0
Current Liabilities 9,966,021,000
Current Debt 0
Non-Cash Working Capital (NCWC) 728,852,000
Change in NCWC 144,536,000
EBIT 157,550,000
Tax Provision 53,321,000
Depreciation and Amortization 16,040,000
Capital Expenditure -22,817,000
Unlevered Free Cash Flow 241,184,811

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