MeritValue

BANK OF SOUTH CAROLINA CORP

BKSCdata completeness 88%14 fiscal years on file
The thesis, from the filings

BANK OF SOUTH CAROLINA CORP earns about 150% on invested capital, far above its ~9% cost of capital, with a roughly flat share count — a real edge showing up in the numbers. The estimate methods put fair value between $12.38 and $31.99 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2018FY 2019FY 2020FY 2021FY 2022
Revenue$18.1M1$18.9M2$17.2M3$17.6M3$19.2M3
Net income$6.92M4$7.32M5$6.46M6$6.74M6$6.66M6
Operating cash flow$9.32M7$4.44M8$291,9879$17.5M9$9.47M9
Capital expenditure$287,03110$2.19M11$184,13812$142,26912$564,92212
Free cash flow (derived)$9.03M7$2.26M8$107,8499$17.3M9$8.91M9
Total debt—————
Cash & equivalents$31.8M13$49.1M13$48.3M14$140.1M14$27.8M14
Diluted shares5.6M5.6M5.7M5.7M5.6M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$68.76
your share of equity
Profit it earned you last year
$11.79
Free cash flow it threw off
$15.78
Debt you’d be carrying
—

10 shares is a claim on $68.76 of net worth that earned you $11.79 and generated $15.78 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
150% avg · 5y
FY18 55%FY19 383%FY20 101%FY21 —FY22 62%

It earned about 150% on invested capital, year after year, against a ~9% cost of capital — the footprint of real pricing power. Competition usually drags returns like this back down; here it hasn't.

seeing a moat in the numbers →
Management signal · capital allocation
+1% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $12.38 and $31.99 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$31.99
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth3.5%
  • fcfBase$8.91M
DCF · Growth Exit 5Y
$31.16
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth3.5%
  • fcfBase$8.91M
Earnings Power Value
$12.38
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$6.74M
  • growthAssumed0.0%
Graham Number
$13.51
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years3.5%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $31.16
The three cases
Bear0.0%$27.47
Base3.5%$31.16
Bull8.5%$37.34

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 3.5%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2018-12-31 · accession 0001387131-21-003179 (InterestAndDividendIncomeOperating)
  2. 10-K · period ending 2019-12-31 · accession 0001387131-22-003161 (InterestAndDividendIncomeOperating)
  3. 10-K · period ending 2020-12-31 · accession 0001839882-23-005612 (InterestAndDividendIncomeOperating)
  4. 10-K · period ending 2018-12-31 · accession 0001387131-21-003179 (NetIncomeLoss)
  5. 10-K · period ending 2019-12-31 · accession 0001387131-22-003161 (NetIncomeLoss)
  6. 10-K · period ending 2020-12-31 · accession 0001839882-23-005612 (NetIncomeLoss)
  7. 10-K · period ending 2018-12-31 · accession 0001387131-21-003179 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2019-12-31 · accession 0001387131-22-003161 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2020-12-31 · accession 0001839882-23-005612 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2018-12-31 · accession 0001387131-21-003179 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2019-12-31 · accession 0001387131-22-003161 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2020-12-31 · accession 0001839882-23-005612 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2018-12-31 · accession 0001387131-20-002611 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2020-12-31 · accession 0001839882-23-005612 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)