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NXG Cushing Midstream Energy Fund (SRV)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$347.84 - $919.84$531.37
Multi-Stage$250.11 - $272.62$261.16
Blended Fair Value$396.27
Current Price$39.93
Upside892.40%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS16.08%0.00%4.523.441.700.921.592.152.152.152.140.00
YoY Growth--31.37%103.11%83.33%-41.97%-25.75%0.00%0.06%0.28%0.00%0.00%
Dividend Yield--9.73%9.83%4.81%2.92%7.81%5.67%5.52%5.00%4.22%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)50.53
(-) Cash Dividends Paid (M)33.73
(=) Cash Retained (M)16.80
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)10.116.323.79
Cash Retained (M)16.8016.8016.80
(-) Cash Required (M)-10.11-6.32-3.79
(=) Excess Retained (M)6.7010.4913.01
(/) Shares Outstanding (M)3.403.403.40
(=) Excess Retained per Share1.973.083.83
LTM Dividend per Share9.929.929.92
(+) Excess Retained per Share1.973.083.83
(=) Adjusted Dividend11.8913.0113.75
WACC / Discount Rate9.11%9.11%9.11%
Growth Rate5.50%6.50%7.50%
Fair Value$347.84$531.37$919.84
Upside / Downside771.12%1,230.75%2,203.64%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)50.5353.8157.3161.0465.0069.2371.31
Payout Ratio66.75%71.40%76.05%80.70%85.35%90.00%92.50%
Projected Dividends (M)33.7338.4243.5849.2655.4862.3165.96

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.11%9.11%9.11%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)34.8835.2135.55
Year 2 PV (M)35.9336.6137.30
Year 3 PV (M)36.8637.9239.00
Year 4 PV (M)37.7039.1540.64
Year 5 PV (M)38.4440.3042.22
PV of Terminal Value (M)666.33698.51731.93
Equity Value (M)850.14887.71926.64
Shares Outstanding (M)3.403.403.40
Fair Value$250.11$261.16$272.62
Upside / Downside526.38%554.05%582.74%

High-Yield Dividend Screener

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