MeritValue

Capital Bancorp Inc

CBNKdata completeness 75%9 fiscal years on file

Data notes: no data for concept 'totalDebt'

The thesis, from the filings

Capital Bancorp Inc earns about 123% on invested capital, but has diluted owners by 19% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $24.71 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 2021FY 2022FY 2023FY 2024FY 2025
Revenue$123.2M1$150.6M2$183.2M3$213.3M4$260.9M4
Net income$40M5$41.8M6$35.9M7$31M8$57.2M8
Operating cash flow$132.1M9$51.4M10$47.4M11$34.9M12$69.7M12
Capital expenditure—————
Free cash flow (derived)—————
Total debt—————
Cash & equivalents$183.4M13$80.4M14$54M15$205.3M15$255.6M15
Diluted shares14.1M14.4M14.1M14.6M16.8M

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
$239.6
your share of equity
Profit it earned you last year
$34.1
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $239.6 of net worth that earned you $34.1 last year.

iii. Is this a good business?
Moat signal · return on invested capital
123% avg · 5y
FY21 309%FY22 35%FY23 34%FY24 97%FY25 141%

It earned an average 123% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+19% shares · 5y

Share count is up 19% over 5 years — owners have been diluted. Worth asking what they got for it.

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
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$24.71
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$40M
  • growthAssumed0.0%
Graham Number
$42.88
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001419536-23-000054 (InterestAndDividendIncomeOperating)
  2. 10-K · period ending 2022-12-31 · accession 0001628280-24-011467 (InterestAndDividendIncomeOperating)
  3. 10-K · period ending 2023-12-31 · accession 0001419536-25-000047 (InterestAndDividendIncomeOperating)
  4. 10-K · period ending 2024-12-31 · accession 0001419536-26-000073 (InterestAndDividendIncomeOperating)
  5. 10-K · period ending 2021-12-31 · accession 0001419536-23-000054 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001628280-24-011467 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001419536-25-000047 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001419536-26-000073 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001419536-23-000054 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001628280-24-011467 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001419536-25-000047 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001419536-26-000073 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001628280-24-011467 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  14. 10-K · period ending 2022-12-31 · accession 0001419536-25-000047 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  15. 10-K · period ending 2023-12-31 · accession 0001419536-26-000073 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)