Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Grupo KUO, S.A.B. de C.V. (KUOA.MX)

Company Dividend Discount ModelIndustry: Packaged FoodsSector: Consumer Defensive

Valuation Snapshot

Stable Growth$156.78 - $418.73$240.24
Multi-Stage$127.39 - $139.09$133.13
Blended Fair Value$186.68
Current Price$45.10
Upside313.93%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS14.66%10.20%0.870.000.960.860.440.440.750.610.450.35
YoY Growth--0.00%-100.00%10.97%96.66%0.00%-41.37%22.95%35.56%28.57%6.06%
Dividend Yield--1.85%0.00%2.05%1.73%0.87%0.90%1.58%1.49%1.15%1.09%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)3,061.45
(-) Cash Dividends Paid (M)1,978.88
(=) Cash Retained (M)1,082.58
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)612.29382.68229.61
Cash Retained (M)1,082.581,082.581,082.58
(-) Cash Required (M)-612.29-382.68-229.61
(=) Excess Retained (M)470.28699.89852.97
(/) Shares Outstanding (M)456.78456.78456.78
(=) Excess Retained per Share1.031.531.87
LTM Dividend per Share4.334.334.33
(+) Excess Retained per Share1.031.531.87
(=) Adjusted Dividend5.365.866.20
WACC / Discount Rate8.23%8.23%8.23%
Growth Rate4.65%5.65%6.65%
Fair Value$156.78$240.24$418.73
Upside / Downside247.62%432.67%828.45%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)3,061.453,234.353,417.003,609.983,813.844,029.234,150.10
Payout Ratio64.64%69.71%74.78%79.86%84.93%90.00%92.50%
Projected Dividends (M)1,978.882,254.692,555.342,882.763,239.013,626.313,838.85

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.23%8.23%8.23%
Growth Rate4.65%5.65%6.65%
Year 1 PV (M)2,063.592,083.312,103.03
Year 2 PV (M)2,140.532,181.642,223.13
Year 3 PV (M)2,210.132,274.102,339.29
Year 4 PV (M)2,272.782,360.912,451.58
Year 5 PV (M)2,328.882,442.302,560.09
PV of Terminal Value (M)47,171.7449,469.0751,855.05
Equity Value (M)58,187.6560,811.3263,532.17
Shares Outstanding (M)456.78456.78456.78
Fair Value$127.39$133.13$139.09
Upside / Downside182.45%195.19%208.40%

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