Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Reach Subsea ASA (REACH.OL)

Company Dividend Discount ModelIndustry: Oil & Gas Equipment & ServicesSector: Energy

Valuation Snapshot

Stable Growth$22.32 - $86.56$37.80
Multi-Stage$14.46 - $15.78$15.11
Blended Fair Value$26.46
Current Price$7.68
Upside244.48%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS57.65%0.00%0.310.150.130.070.000.030.000.000.000.00
YoY Growth--112.78%13.58%87.94%0.00%-100.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--4.18%2.37%3.04%1.53%0.00%3.90%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)240.49
(-) Cash Dividends Paid (M)137.50
(=) Cash Retained (M)102.99
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)48.1030.0618.04
Cash Retained (M)102.99102.99102.99
(-) Cash Required (M)-48.10-30.06-18.04
(=) Excess Retained (M)54.8972.9384.95
(/) Shares Outstanding (M)316.57316.57316.57
(=) Excess Retained per Share0.170.230.27
LTM Dividend per Share0.430.430.43
(+) Excess Retained per Share0.170.230.27
(=) Adjusted Dividend0.610.660.70
WACC / Discount Rate8.37%8.37%8.37%
Growth Rate5.50%6.50%7.50%
Fair Value$22.32$37.80$86.56
Upside / Downside190.61%392.21%1,027.07%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)240.49256.12272.77290.50309.38329.49339.37
Payout Ratio57.18%63.74%70.31%76.87%83.44%90.00%92.50%
Projected Dividends (M)137.50163.25191.77223.30258.13296.54313.92

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.37%8.37%8.37%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)149.22150.64152.05
Year 2 PV (M)160.23163.28166.36
Year 3 PV (M)170.55175.44180.43
Year 4 PV (M)180.21187.14194.27
Year 5 PV (M)189.23198.37207.86
PV of Terminal Value (M)3,728.573,908.664,095.65
Equity Value (M)4,578.014,783.544,996.62
Shares Outstanding (M)316.57316.57316.57
Fair Value$14.46$15.11$15.78
Upside / Downside88.30%96.75%105.51%

High-Yield Dividend Screener

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