Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Apollo Tactical Income Fund Inc. (AIF)

Company Dividend Discount ModelIndustry: Asset Management - IncomeSector: Financial Services

Valuation Snapshot

Stable Growth$64.40 - $119.42$86.97
Multi-Stage$118.91 - $130.61$124.65
Blended Fair Value$105.81
Current Price$13.96
Upside657.93%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202320222021202020192018201720162015
DPS2.35%2.58%1.481.181.100.961.241.321.291.521.561.65
YoY Growth--25.94%6.91%14.11%-22.32%-5.91%2.34%-15.07%-2.99%-5.32%43.97%
Dividend Yield--10.61%9.70%7.18%6.66%8.22%9.58%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)63.59
(-) Cash Dividends Paid (M)38.43
(=) Cash Retained (M)25.15
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)12.727.954.77
Cash Retained (M)25.1525.1525.15
(-) Cash Required (M)-12.72-7.95-4.77
(=) Excess Retained (M)12.4417.2120.39
(/) Shares Outstanding (M)14.4614.4614.46
(=) Excess Retained per Share0.861.191.41
LTM Dividend per Share2.662.662.66
(+) Excess Retained per Share0.861.191.41
(=) Adjusted Dividend3.523.854.07
WACC / Discount Rate6.08%6.08%6.08%
Growth Rate0.58%1.58%2.58%
Fair Value$64.40$86.97$119.42
Upside / Downside361.29%522.96%755.43%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)63.5964.5965.6266.6567.7168.7870.85
Payout Ratio60.44%66.35%72.26%78.18%84.09%90.00%92.50%
Projected Dividends (M)38.4342.8647.4252.1156.9461.9065.53

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.08%6.08%6.08%
Growth Rate0.58%1.58%2.58%
Year 1 PV (M)40.0140.4040.80
Year 2 PV (M)41.3142.1442.97
Year 3 PV (M)42.3843.6644.96
Year 4 PV (M)43.2244.9746.77
Year 5 PV (M)43.8746.0948.40
PV of Terminal Value (M)1,509.131,585.661,665.25
Equity Value (M)1,719.921,802.911,889.16
Shares Outstanding (M)14.4614.4614.46
Fair Value$118.91$124.65$130.61
Upside / Downside751.79%792.89%835.61%

High-Yield Dividend Screener

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