MeritValue

First Internet Bancorp

INBKdata completeness 100%14 fiscal years on file
The thesis, from the filings

First Internet Bancorp earns about 29% on invested capital, far above its ~9% cost of capital, and has bought back 12% of its shares over 5 years — the marks of a durable business run for its owners. The estimate methods put fair value between $30 and $34.08 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$133.9M1$156.9M2$239.4M3$291.9M3$320.2M3
Net income$48.1M4$35.5M5$8.42M6$25.3M6−$35.2M6
Operating cash flow$54.8M7$82.7M8$11.7M9$13M9$3.45M9
Capital expenditure$29.9M10$17.5M11$5.37M12$2.59M12$1.23M12
Free cash flow (derived)$24.9M7$65.2M8$6.31M9$10.4M9$2.22M9
Total debt$514.9M13$614.9M14$614.9M15$295M16$249.5M16
Cash & equivalents$443M17$256.6M18$405.9M19$466.4M20$456.8M20
Diluted shares10.0M9.6M8.9M8.8M8.7M

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
$412.11
your share of equity
Profit it earned you last year
−$40.28
Free cash flow it threw off
$2.54
Debt you’d be carrying
$285.8

10 shares is a claim on $412.11 of net worth that earned you −$40.28 and generated $2.54 of cash last year, against $285.8 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
29% avg · 5y
FY21 20%FY22 12%FY23 30%FY24 50%FY25 33%

It earned about 29% 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
−12% shares · 5y

Share count is down 12% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has fallen 52% — deleveraging.

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 $30 and $34.08 a share. They rest on different assumptions, so where they diverge is the story.

DCF · Growth Exit 10Y
$33.3
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$6.31M
DCF · Growth Exit 5Y
$34.08
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$6.31M
Earnings Power Value
$30
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$25.3M
  • growthAssumed0.0%
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

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 years0.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $34.08
The three cases
Bear0.0%$34.08
Base0.0%$34.08
Bull5.0%$36.58

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

Default growth 0.0%= 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 0001562463-24-000019 (InterestAndDividendIncomeOperating)
  2. 10-K · period ending 2022-12-31 · accession 0001562463-25-000022 (InterestAndDividendIncomeOperating)
  3. 10-K · period ending 2023-12-31 · accession 0001562463-26-000022 (InterestAndDividendIncomeOperating)
  4. 10-K · period ending 2021-12-31 · accession 0001562463-24-000019 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001562463-25-000022 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001562463-26-000022 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001562463-24-000019 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001562463-25-000022 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001562463-26-000022 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001562463-24-000019 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001562463-25-000022 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001562463-26-000022 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001562463-23-000022 (LongTermDebt)
  14. 10-K · period ending 2022-12-31 · accession 0001562463-24-000019 (LongTermDebt)
  15. 10-K · period ending 2023-12-31 · accession 0001562463-25-000022 (LongTermDebt)
  16. 10-K · period ending 2024-12-31 · accession 0001562463-26-000022 (LongTermDebt)
  17. 10-K · period ending 2021-12-31 · accession 0001562463-23-000022 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001562463-24-000019 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001562463-25-000022 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001562463-26-000022 (CashAndCashEquivalentsAtCarryingValue)