Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Oaktree Acquisition Corp. III Life Sciences (OACC)

Company Dividend Discount ModelIndustry: Shell CompaniesSector: Financial Services

Valuation Snapshot

Stable Growth$2.73 - $4.22$3.42
Multi-Stage$6.23 - $6.86$6.54
Blended Fair Value$4.98
Current Price$10.51
Upside-52.61%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024
DPS0.00%0.00%0.000.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.00%0.00%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)6.88
(-) Cash Dividends Paid (M)4.25
(=) Cash Retained (M)2.63
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)1.380.860.52
Cash Retained (M)2.632.632.63
(-) Cash Required (M)-1.38-0.86-0.52
(=) Excess Retained (M)1.261.772.12
(/) Shares Outstanding (M)23.2423.2423.24
(=) Excess Retained per Share0.050.080.09
LTM Dividend per Share0.180.180.18
(+) Excess Retained per Share0.050.080.09
(=) Adjusted Dividend0.240.260.27
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate-2.00%-1.00%0.00%
Fair Value$2.73$3.42$4.22
Upside / Downside-74.00%-67.43%-59.87%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)6.886.816.746.686.616.546.74
Payout Ratio61.74%67.39%73.05%78.70%84.35%90.00%92.50%
Projected Dividends (M)4.254.594.935.255.575.896.23

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)4.274.314.35
Year 2 PV (M)4.264.344.43
Year 3 PV (M)4.224.354.48
Year 4 PV (M)4.164.334.51
Year 5 PV (M)4.094.304.52
PV of Terminal Value (M)123.84130.28137.00
Equity Value (M)144.83151.92159.30
Shares Outstanding (M)23.2423.2423.24
Fair Value$6.23$6.54$6.86
Upside / Downside-40.70%-37.79%-34.77%

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