DCF Tool

WAFD

WaFd Inc
it all started back in 1917. a group of local businessmen established ballard savings and loan association in a fishing and lumber community just north of seattle, washington. now, a century later, we continue to provide one-on-one, friendly and professional service. no phone trees. no jumping through hoops. just the personal attention and customized expert advice you deserve. from checking, savings and retirement accounts to home loan and corporate real estate financing, washington federal is ready to help bring clarity to banking. we operate in eight western states, including washington, arizona, idaho, nevada, oregon, texas, utah and new mexico. this year, we're proud to celebrate our first 100 years in banking. our common-sense, disciplined approach has stood the test of time and made us one of the strongest financial institutions in america.
Analysis Results
Intrinsic Value $192.56
Latest Price $26.85
Relative Value 86% 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 9.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 3.7%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 9.4%, 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)
2024 313 302
2025 343 318
2026 375 336
2027 410 354
2028 448 373
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 13400 million. This corresponds to a present value of 10800 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1680 million. Adding in the terminal value gives a total present value of 12500 million.

There are presently 64.7 million outstanding shares, so the intrinsic value per share is 192.56.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 20,962,885,000
Current Cash 0
Current Liabilities 20,048,249,000
Current Debt 0
Non-Cash Working Capital (NCWC) 914,636,000
Change in NCWC 33,464,000
EBIT 325,767,000
Tax Provision 67,650,000
Depreciation and Amortization 22,970,000
Capital Expenditure -15,063,000
Unlevered Free Cash Flow 299,344,199
Current Assets 19,375,737,000
Current Cash 0
Current Liabilities 18,494,565,000
Current Debt 0
Non-Cash Working Capital (NCWC) 881,172,000
Change in NCWC -73,617,000
EBIT 299,386,000
Tax Provision 63,707,000
Depreciation and Amortization 64,050,000
Capital Expenditure -11,790,000
Unlevered Free Cash Flow 214,460,227
Current Assets 18,479,299,000
Current Cash 0
Current Liabilities 17,524,510,000
Current Debt 0
Non-Cash Working Capital (NCWC) 954,789,000
Change in NCWC 230,288,000
EBIT 218,601,000
Tax Provision 49,523,000
Depreciation and Amortization 33,914,000
Capital Expenditure -29,472,000
Unlevered Free Cash Flow 406,895,938
Current Assets 17,504,423,000
Current Cash 0
Current Liabilities 16,779,922,000
Current Debt 0
Non-Cash Working Capital (NCWC) 724,501,000
Change in NCWC -166,500,000
EBIT 219,160,000
Tax Provision 45,748,000
Depreciation and Amortization 39,912,000
Capital Expenditure -31,937,000
Unlevered Free Cash Flow 14,892,426
Current Assets 15,327,812,000
Current Cash 0
Current Liabilities 14,436,811,000
Current Debt 0
Non-Cash Working Capital (NCWC) 891,001,000
Change in NCWC 26,414,000
EBIT 261,965,000
Tax Provision 52,519,000
Depreciation and Amortization 31,058,000
Capital Expenditure -35,530,000
Unlevered Free Cash Flow 231,549,889
Current Assets 14,733,403,000
Current Cash 0
Current Liabilities 13,868,816,000
Current Debt 0
Non-Cash Working Capital (NCWC) 864,587,000
Change in NCWC -37,921,000
EBIT 257,345,000
Tax Provision 53,393,000
Depreciation and Amortization 46,735,000
Capital Expenditure -27,127,000
Unlevered Free Cash Flow 185,617,829
Current Assets 14,150,400,000
Current Cash 0
Current Liabilities 13,247,892,000
Current Debt 0
Non-Cash Working Capital (NCWC) 902,508,000
Change in NCWC 75,390,000
EBIT 254,722,000
Tax Provision 82,684,000
Depreciation and Amortization 41,680,000
Capital Expenditure -15,461,000
Unlevered Free Cash Flow 274,129,131
Current Assets 13,739,450,000
Current Cash 0
Current Liabilities 12,912,332,000
Current Debt 0
Non-Cash Working Capital (NCWC) 827,118,000
Change in NCWC -93,641,000
EBIT 238,088,000
Tax Provision 84,085,000
Depreciation and Amortization 22,988,000
Capital Expenditure -37,933,000
Unlevered Free Cash Flow 48,821,281
Current Assets 13,533,404,000
Current Cash 0
Current Liabilities 12,612,645,000
Current Debt 0
Non-Cash Working Capital (NCWC) 920,759,000
Change in NCWC -74,191,000
EBIT 250,769,000
Tax Provision 89,203,000
Depreciation and Amortization 21,217,000
Capital Expenditure -36,860,000
Unlevered Free Cash Flow 71,285,125
Current Assets 13,777,708,000
Current Cash 0
Current Liabilities 12,782,758,000
Current Debt 0
Non-Cash Working Capital (NCWC) 994,950,000
Change in NCWC -5,590,000
EBIT 244,928,000
Tax Provision 87,564,000
Depreciation and Amortization 17,347,000
Capital Expenditure -51,794,000
Unlevered Free Cash Flow 117,327,000
Current Assets 12,145,764,000
Current Cash 0
Current Liabilities 11,145,224,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,000,540,000
Change in NCWC 39,366,000
EBIT 234,616,000
Tax Provision 83,111,000
Depreciation and Amortization 8,707,000
Capital Expenditure -29,246,000
Unlevered Free Cash Flow 170,332,000
Current Assets 11,534,366,000
Current Cash 0
Current Liabilities 10,573,192,000
Current Debt 0
Non-Cash Working Capital (NCWC) 961,174,000
Change in NCWC 6,816,000
EBIT 215,911,000
Tax Provision 77,728,000
Depreciation and Amortization 7,587,000
Capital Expenditure -32,010,000
Unlevered Free Cash Flow 120,576,000

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