Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Boursa Kuwait Securities Company K.P.S.C. (BOURSA.KW)

Company Dividend Discount ModelIndustry: Financial - Data & Stock ExchangesSector: Financial Services

Valuation Snapshot

Stable Growth$0.87 - $1.24$1.05
Multi-Stage$1.39 - $1.52$1.45
Blended Fair Value$1.25
Current Price$3.43
Upside-63.46%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019201820172016
DPS0.00%0.00%0.070.080.060.040.020.000.000.000.000.00
YoY Growth---11.73%30.93%64.56%77.29%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--2.64%4.07%3.56%1.44%1.94%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)26.81
(-) Cash Dividends Paid (M)16.45
(=) Cash Retained (M)10.36
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)5.363.352.01
Cash Retained (M)10.3610.3610.36
(-) Cash Required (M)-5.36-3.35-2.01
(=) Excess Retained (M)5.007.018.35
(/) Shares Outstanding (M)200.78200.78200.78
(=) Excess Retained per Share0.020.030.04
LTM Dividend per Share0.080.080.08
(+) Excess Retained per Share0.020.030.04
(=) Adjusted Dividend0.110.120.12
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate-2.00%-1.00%0.00%
Fair Value$0.87$1.05$1.24
Upside / Downside-74.56%-69.33%-63.98%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)26.8126.5426.2726.0125.7525.4926.26
Payout Ratio61.35%67.08%72.81%78.54%84.27%90.00%92.50%
Projected Dividends (M)16.4517.8019.1320.4321.7022.9424.29

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)16.0216.1916.35
Year 2 PV (M)15.4915.8116.13
Year 3 PV (M)14.8915.3515.82
Year 4 PV (M)14.2314.8215.43
Year 5 PV (M)13.5414.2514.98
PV of Terminal Value (M)204.94215.62226.73
Equity Value (M)279.13292.04305.45
Shares Outstanding (M)200.78200.78200.78
Fair Value$1.39$1.45$1.52
Upside / Downside-59.47%-57.59%-55.65%

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