Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Deterra Royalties Limited (DRR.AX)

Company Dividend Discount ModelIndustry: Industrial MaterialsSector: Basic Materials

Valuation Snapshot

Stable Growth$5.98 - $9.53$7.59
Multi-Stage$16.37 - $18.01$17.18
Blended Fair Value$12.38
Current Price$3.76
Upside229.36%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120192018
DPS0.00%0.00%0.230.320.000.000.000.000.000.000.000.00
YoY Growth---26.80%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--6.17%7.90%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)310.58
(-) Cash Dividends Paid (M)290.61
(=) Cash Retained (M)19.97
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)62.1238.8223.29
Cash Retained (M)19.9719.9719.97
(-) Cash Required (M)-62.12-38.82-23.29
(=) Excess Retained (M)-42.15-18.85-3.32
(/) Shares Outstanding (M)529.62529.62529.62
(=) Excess Retained per Share-0.08-0.04-0.01
LTM Dividend per Share0.550.550.55
(+) Excess Retained per Share-0.08-0.04-0.01
(=) Adjusted Dividend0.470.510.54
WACC / Discount Rate5.69%5.69%5.69%
Growth Rate-2.00%-1.00%0.00%
Fair Value$5.98$7.59$9.53
Upside / Downside58.96%101.87%153.43%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)310.58307.48304.40301.36298.34295.36304.22
Payout Ratio93.57%92.86%92.14%91.43%90.71%90.00%92.50%
Projected Dividends (M)290.61285.51280.48275.52270.64265.82281.40

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate5.69%5.69%5.69%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)267.40270.13272.86
Year 2 PV (M)246.03251.08256.18
Year 3 PV (M)226.36233.36240.50
Year 4 PV (M)208.25216.88225.77
Year 5 PV (M)191.57201.55211.93
PV of Terminal Value (M)7,532.157,924.378,332.76
Equity Value (M)8,671.779,097.379,540.01
Shares Outstanding (M)529.62529.62529.62
Fair Value$16.37$17.18$18.01
Upside / Downside335.47%356.84%379.07%

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