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Cadence Bank (Cadence Bank) Intrinsic Value: Projected FCF : $46.89 (As of Apr. 29, 2024)


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What is Cadence Bank Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-29), Cadence Bank's Intrinsic Value: Projected FCF is $46.89. The stock price of Cadence Bank is $29.02. Therefore, Cadence Bank's Price-to-Intrinsic-Value-Projected-FCF of today is 0.6.

The historical rank and industry rank for Cadence Bank's Intrinsic Value: Projected FCF or its related term are showing as below:

CADE' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.61   Med: 0.77   Max: 1.04
Current: 0.62

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Cadence Bank was 1.04. The lowest was 0.61. And the median was 0.77.

CADE's Price-to-Projected-FCF is ranked worse than
71.97% of 1213 companies
in the Banks industry
Industry Median: 0.44 vs CADE: 0.62

Cadence Bank Intrinsic Value: Projected FCF Historical Data

The historical data trend for Cadence Bank's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Cadence Bank Intrinsic Value: Projected FCF Chart

Cadence Bank Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.02 38.13 44.84 40.66 46.89

Cadence Bank Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 40.66 42.53 43.47 44.43 46.89

Competitive Comparison of Cadence Bank's Intrinsic Value: Projected FCF

For the Banks - Regional subindustry, Cadence Bank's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Cadence Bank's Price-to-Projected-FCF Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Cadence Bank's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Cadence Bank's Price-to-Projected-FCF falls into.



Cadence Bank Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Cadence Bank's Free Cash Flow(6 year avg) = $465.47.

Cadence Bank's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*465.47136+5167.843*0.8)/182.690
=46.89

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Cadence Bank  (NYSE:CADE) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Cadence Bank's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=29.02/46.886668153987
=0.62

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Cadence Bank Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Cadence Bank's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Cadence Bank (Cadence Bank) Business Description

Industry
Traded in Other Exchanges
Address
201 South Spring Street, One Mississippi Plaza, Tupelo, MS, USA, 38804
Cadence Bank is a bank based in the United States. The operating segments 1) Banking Services segment provides all traditional banking products and services, including commercial loans and deposits. 2) Mortgage segment includes mortgage banking activities of originating mortgage loans, and selling mortgage loans in the secondary market.3) Wealth Management segment offers individuals, businesses, governmental institutions and non-profit entities solutions to help protect, grow and transfer wealth. 4) Insurance Agencies segment provides service as agents in the sale of commercial lines of insurance and full lines of property and casualty, life, etc. 5) General Corporate and Other segment included other activities not allocated to other aforementioned operating segments.