Discounted Cash Flow

Live Oak Bancshares, Inc.

LOB · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $13.8m $-232.8m $0.40
2017 $100.5m (629.7%) $-411.7m (-76.8%) $2.75 (587.5%)
2018 $51.4m (-48.8%) $-99.8m (75.8%) $1.28 (-53.5%)
2019 $18.0m (-64.9%) $-531.1m (-432.2%) $0.45 (-64.8%)
2020 $59.5m (230.2%) $-294.0m (44.6%) $1.46 (224.4%)
2021 $167.0m (180.5%) $-122.8m (58.2%) $3.87 (165.1%)
2022 $176.2m (5.5%) $80.7m (165.7%) $4.02 (3.9%)
2023 $73.9m (-58.1%) $573.2m (610.0%) $1.67 (-58.5%)
2024 $77.5m (4.8%) $96.3m (-83.2%) $1.72 (3.0%)
2025 $105.9m (36.7%) $143.5m (48.9%) $2.25 (30.8%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model