Independent Bank Corporation (IBCP) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-28.2%

$26.83

vs $37.35 price

Levered DCF

$34.22

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

0.36

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	9.86×	10.88×	9.23×	7.97×	8.2×	7.21×	11.16×	12.36×
P/B	1.34×	1.6×	1.35×	1.45×	1.29×	1.04×	1.48×	1.45×
P/S	2.13×	2.3×	1.92×	2.25×	2.49×	1.89×	2.72×	2.88×
EV / EBITDA	7.14×	7.86×	6.03×	7.41×	5.76×	5.03×	9.1×	8.83×
Gross margin	69.6%	66.9%	68.3%	88.7%	96.3%	86.5%	85.6%	88.9%
Operating margin	25.8%	26.3%	26.0%	34.7%	37.3%	32.4%	30.3%	28.8%
Net margin	21.7%	21.1%	20.8%	28.3%	30.4%	26.2%	24.3%	23.3%
Current ratio	0.03×	0.03×	0.18×	0.22×	0.38×	0.34×	0.2×	0.18×
Debt / equity	0.23×	0.27×	0.32×	0.65×	0.27×	0.28×	0.37×	0.19×
Interest coverage	0.91×	0.83×	0.88×	4×	9.3×	4.28×	2.19×	2.81×
Dividend yield	3.2%	2.8%	3.5%	3.7%	3.5%	4.3%	3.2%	2.9%
Payout ratio	31.5%	30.0%	32.7%	29.3%	28.9%	31.4%	35.6%	35.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	13.6%	14.7%	14.6%	18.2%	15.8%	14.4%	13.3%	11.8%
Return on invested capital	9.2%	9.8%	9.2%	12.4%	12.4%	11.3%	9.7%	9.9%
Return on assets	1.2%	1.3%	1.1%	1.3%	1.3%	1.3%	1.3%	1.2%
Free cash flow yield	10.4%	7.6%	12.8%	17.6%	20.2%	13.4%	5.7%	8.3%
Earnings yield	10.2%	9.2%	10.8%	12.5%	12.2%	13.9%	9.0%	8.1%
Enterprise value	$650.9M	$731.5M	$504.5M	$656.8M	$515.4M	$395.2M	$580.5M	$486.9M
Net debt / EBITDA	-0.24×	0.05×	-0.48×	1.71×	-0.01×	-0.13×	0.98×	-0.1×
Cash conversion cycle (days)	0	0	0	210	117	106	86	74