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Lagardere S.A. (MMB.PA)

Company Dividend Discount ModelIndustry: Travel ServicesSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$23.57 - $39.10$30.44
Multi-Stage$43.56 - $47.82$45.65
Blended Fair Value$38.04
Current Price$21.60
Upside76.12%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-11.76%-20.78%0.651.280.490.000.001.211.201.191.181.17
YoY Growth---49.73%161.43%0.00%0.00%-100.00%0.58%0.59%1.19%0.60%-82.33%
Dividend Yield--3.18%6.95%2.45%0.00%0.00%6.21%5.45%4.46%4.47%4.26%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)291.00
(-) Cash Dividends Paid (M)187.00
(=) Cash Retained (M)104.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)58.2036.3821.83
Cash Retained (M)104.00104.00104.00
(-) Cash Required (M)-58.20-36.38-21.83
(=) Excess Retained (M)45.8067.6382.18
(/) Shares Outstanding (M)142.49142.49142.49
(=) Excess Retained per Share0.320.470.58
LTM Dividend per Share1.311.311.31
(+) Excess Retained per Share0.320.470.58
(=) Adjusted Dividend1.631.791.89
WACC / Discount Rate6.77%6.77%6.77%
Growth Rate-0.15%0.85%1.85%
Fair Value$23.57$30.44$39.10
Upside / Downside9.13%40.92%81.03%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)291.00293.47295.96298.47301.00303.55312.66
Payout Ratio64.26%69.41%74.56%79.70%84.85%90.00%92.50%
Projected Dividends (M)187.00203.69220.66237.89255.41273.20289.21

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.77%6.77%6.77%
Growth Rate-0.15%0.85%1.85%
Year 1 PV (M)188.89190.78192.67
Year 2 PV (M)189.75193.57197.42
Year 3 PV (M)189.70195.46201.33
Year 4 PV (M)188.86196.54204.45
Year 5 PV (M)187.34196.91206.86
PV of Terminal Value (M)5,262.235,531.075,810.79
Equity Value (M)6,206.766,504.326,813.53
Shares Outstanding (M)142.49142.49142.49
Fair Value$43.56$45.65$47.82
Upside / Downside101.66%111.33%121.37%

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