MeritValue

FIDELITY D & D BANCORP INC

FDBCdata completeness 100%17 fiscal years on file
The thesis, from the filings

FIDELITY D & D BANCORP INC earns about 47% on invested capital, far above its ~9% cost of capital, but has diluted owners by 8% over 5 years — a real edge showing up in the numbers. The estimate methods put fair value between $42.92 and $280.94 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$65.5M1$78.7M2$93.8M3$107M4$119.8M4
Net income$24M5$30M6$18.2M7$20.8M8$28.2M8
Operating cash flow$7.2M9$49.4M10$29.7M11$29.6M12$42.4M12
Capital expenditure$2.52M13$5.51M14$6.95M15$4.66M16$17.5M16
Free cash flow (derived)$4.68M9$43.9M10$22.7M11$24.9M12$24.8M12
Total debt$017$12.9M18$117M19$020$20,00020
Cash & equivalents$96.9M21$29.1M22$111.9M23$83.4M24$148.1M24
Diluted shares5.4M5.7M5.7M5.8M5.8M

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
$412.03
your share of equity
Profit it earned you last year
$48.64
Free cash flow it threw off
$42.82
Debt you’d be carrying
$0.03

10 shares is a claim on $412.03 of net worth that earned you $48.64 and generated $42.82 of cash last year, against $0.03 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
47% avg · 5y
FY21 24%FY22 24%FY23 24%FY24 62%FY25 99%

It earned about 47% 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
+8% shares · 5y

Share count is up 8% 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

The 3 estimate methods that apply put fair value between $42.92 and $280.94 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
$280.94
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth20.0%
  • fcfBase$24.8M
DCF · Growth Exit 5Y
$165.15
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth20.0%
  • fcfBase$24.8M
Earnings Power Value
$42.92
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$24M
  • growthAssumed0.0%
Graham Number
$67.12
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 years20.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $165.15
The three cases
Bear0.0%$86.72
Base20.0%$165.15
Bull20.0%$165.15

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

Default growth 20.0%= 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 2021-12-31 · accession 0001437749-23-007221 (InterestAndDividendIncomeOperating)
  2. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (InterestAndDividendIncomeOperating)
  3. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (InterestAndDividendIncomeOperating)
  4. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (InterestAndDividendIncomeOperating)
  5. 10-K · period ending 2021-12-31 · accession 0001437749-23-007221 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001437749-23-007221 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001437749-23-007221 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-12-31 · accession 0001437749-23-007221 (ShortTermBorrowings)
  18. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (ShortTermBorrowings)
  19. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (ShortTermBorrowings)
  20. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (ShortTermBorrowings)
  21. 10-K · period ending 2021-12-31 · accession 0001437749-23-007221 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2022-12-31 · accession 0001437749-24-008680 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2023-12-31 · accession 0001437749-25-007555 (CashAndCashEquivalentsAtCarryingValue)
  24. 10-K · period ending 2024-12-31 · accession 0001437749-26-008215 (CashAndCashEquivalentsAtCarryingValue)