Colony Bankcorp, Inc.

AI-generated fair value estimate for this company.

Method: Residual income / justified price-to-book model applied to book value: $18.43 book value per share (Q2 2026); 11.33% ROE (Q2 2026 GAAP, annualized); 9.5% cost of equity (CAPM: 4.2% risk-free rate + 1.05 beta x 5% equity risk premium); 5.0% long-term sustainable growth rate; implying a justified P/B of 1.41x applied to book value per share ($18.43 x 1.41 = $25.93).

Reasoning: CBAN earns an ROE modestly above its ~9.5% cost of equity, and as a bank, equity capital (not unlevered FCF) is the relevant value driver, so a residual-income/justified-P/B framework anchored to book value fits better than a standard FCF DCF; the implied 1.41x justified P/B versus ~1.16x actual trading P/B suggests the market has not fully credited CBAN's above-cost-of-equity returns and pending First Reliance bank M&A growth.