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NB Private Equity Partners Limited (NBPU.L)

Company Dividend Discount ModelIndustry: Investment - Banking & Investment ServicesSector: Financial Services

Valuation Snapshot

Stable Growth$7.58 - $10.92$9.21
Multi-Stage$13.03 - $14.26$13.63
Blended Fair Value$11.42
Current Price$19.50
Upside-41.42%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019201820172016
DPS9.38%0.00%0.760.780.780.600.480.480.460.430.430.00
YoY Growth---2.64%-0.28%30.56%24.09%-0.48%5.43%6.00%0.00%0.00%0.00%
Dividend Yield--3.88%3.79%4.39%2.40%3.07%3.12%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)60.44
(-) Cash Dividends Paid (M)42.43
(=) Cash Retained (M)18.01
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)12.097.564.53
Cash Retained (M)18.0118.0118.01
(-) Cash Required (M)-12.09-7.56-4.53
(=) Excess Retained (M)5.9210.4613.48
(/) Shares Outstanding (M)56.3956.3956.39
(=) Excess Retained per Share0.110.190.24
LTM Dividend per Share0.750.750.75
(+) Excess Retained per Share0.110.190.24
(=) Adjusted Dividend0.860.940.99
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Fair Value$7.58$9.21$10.92
Upside / Downside-61.10%-52.76%-44.00%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)60.4459.8459.2458.6558.0657.4859.20
Payout Ratio70.20%74.16%78.12%82.08%86.04%90.00%92.50%
Projected Dividends (M)42.4344.3846.2848.1449.9551.7354.76

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)40.2740.6841.09
Year 2 PV (M)38.1138.8939.68
Year 3 PV (M)35.9837.0938.22
Year 4 PV (M)33.8835.2936.73
Year 5 PV (M)31.8433.5035.23
PV of Terminal Value (M)554.39583.26613.32
Equity Value (M)734.47768.71804.27
Shares Outstanding (M)56.3956.3956.39
Fair Value$13.03$13.63$14.26
Upside / Downside-33.20%-30.09%-26.85%

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