Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

S&T Bancorp, Inc. (STBA)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$145.02 - $697.35$257.21
Multi-Stage$88.20 - $96.42$92.24
Blended Fair Value$174.72
Current Price$37.59
Upside364.81%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS6.41%9.70%1.321.291.221.151.140.970.890.740.690.63
YoY Growth--2.55%5.87%5.93%0.86%17.64%8.17%20.90%6.66%9.38%21.20%
Dividend Yield--3.56%4.04%3.87%3.88%3.40%3.54%2.23%1.85%2.01%2.46%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)175.71
(-) Cash Dividends Paid (M)52.27
(=) Cash Retained (M)123.45
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)35.1421.9613.18
Cash Retained (M)123.45123.45123.45
(-) Cash Required (M)-35.14-21.96-13.18
(=) Excess Retained (M)88.30101.48110.27
(/) Shares Outstanding (M)38.6038.6038.60
(=) Excess Retained per Share2.292.632.86
LTM Dividend per Share1.351.351.35
(+) Excess Retained per Share2.292.632.86
(=) Adjusted Dividend3.643.984.21
WACC / Discount Rate8.15%8.15%8.15%
Growth Rate5.50%6.50%7.50%
Fair Value$145.02$257.21$697.35
Upside / Downside285.78%584.25%1,755.15%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)175.71187.13199.29212.25226.05240.74247.96
Payout Ratio29.75%41.80%53.85%65.90%77.95%90.00%92.50%
Projected Dividends (M)52.2778.21107.31139.87176.20216.66229.36

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.15%8.15%8.15%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)71.6472.3273.00
Year 2 PV (M)90.0491.7593.48
Year 3 PV (M)107.49110.57113.72
Year 4 PV (M)124.03128.80133.71
Year 5 PV (M)139.70146.44153.45
PV of Terminal Value (M)2,872.113,010.833,154.87
Equity Value (M)3,405.003,560.723,722.22
Shares Outstanding (M)38.6038.6038.60
Fair Value$88.20$92.24$96.42
Upside / Downside134.64%145.37%156.50%

High-Yield Dividend Screener

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