Discounted Cash Flow

Regional Management Corp.

RM · 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 $240.5m $24.0m $93.5m 10.0% $2.03
2017 $272.5m (13.3%) $30.0m (24.7%) $110.7m (18.4%) 11.0% (10.1%) $2.59 (27.6%)
2018 $306.7m (12.6%) $35.3m (18.0%) $140.9m (27.3%) 11.5% (4.8%) $3.03 (17.0%)
2019 $355.7m (16.0%) $44.7m (26.6%) $159.3m (13.0%) 12.6% (9.1%) $3.92 (29.4%)
2020 $373.9m (5.1%) $26.7m (-40.2%) $168.2m (5.6%) 7.1% (-43.2%) $2.45 (-37.5%)
2021 $428.4m (14.6%) $88.7m (231.8%) $185.4m (10.2%) 20.7% (189.6%) $8.84 (260.8%)
2022 $507.2m (18.4%) $51.2m (-42.2%) $218.5m (17.8%) 10.1% (-51.2%) $5.51 (-37.7%)
2023 $551.4m (8.7%) $16.0m (-68.8%) $16.0m (-92.7%) 2.9% (-71.3%) $1.70 (-69.1%)
2024 $588.5m (6.7%) $41.2m (158.3%) $263.9m (1553.5%) 7.0% (142.1%) $4.28 (151.8%)
2025 $645.6m (9.7%) $44.4m (7.7%) $304.3m (15.3%) 6.9% (-1.8%) $4.71 (10.0%)

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