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Gaush Meditech Ltd (2407.HK)

Company Dividend Discount ModelIndustry: Medical - DevicesSector: Healthcare

Valuation Snapshot

Stable Growth$10.64 - $15.85$13.12
Multi-Stage$21.05 - $23.09$22.05
Blended Fair Value$17.58
Current Price$6.21
Upside183.17%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS0.00%0.00%1.010.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--10.92%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)192.60
(-) Cash Dividends Paid (M)148.56
(=) Cash Retained (M)44.04
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)38.5224.0714.44
Cash Retained (M)44.0444.0444.04
(-) Cash Required (M)-38.52-24.07-14.44
(=) Excess Retained (M)5.5219.9729.60
(/) Shares Outstanding (M)147.40147.40147.40
(=) Excess Retained per Share0.040.140.20
LTM Dividend per Share1.011.011.01
(+) Excess Retained per Share0.040.140.20
(=) Adjusted Dividend1.051.141.21
WACC / Discount Rate7.63%7.63%7.63%
Growth Rate-2.00%-1.00%0.00%
Fair Value$10.64$13.12$15.85
Upside / Downside71.37%111.30%155.23%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)192.60190.67188.76186.87185.01183.16188.65
Payout Ratio77.13%79.71%82.28%84.85%87.43%90.00%92.50%
Projected Dividends (M)148.56151.98155.31158.57161.74164.84174.50

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.63%7.63%7.63%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)139.78141.21142.63
Year 2 PV (M)131.39134.09136.81
Year 3 PV (M)123.38127.20131.09
Year 4 PV (M)115.75120.55125.50
Year 5 PV (M)108.50114.15120.04
PV of Terminal Value (M)2,483.352,612.672,747.31
Equity Value (M)3,102.163,249.863,403.38
Shares Outstanding (M)147.40147.40147.40
Fair Value$21.05$22.05$23.09
Upside / Downside238.89%255.03%271.80%

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