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Helios Technologies, Inc. (HLIO)

Company Dividend Discount ModelIndustry: Industrial - MachinerySector: Industrials

Valuation Snapshot

Stable Growth$10.53 - $16.70$13.34
Multi-Stage$13.64 - $14.94$14.28
Blended Fair Value$13.81
Current Price$52.73
Upside-73.80%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.64%-11.05%0.360.350.350.350.350.350.330.310.320.36
YoY Growth--0.85%0.85%0.86%0.00%0.65%4.74%7.24%-4.50%-10.46%-68.72%
Dividend Yield--1.11%0.79%0.54%0.44%0.48%0.98%0.71%0.57%0.89%1.08%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)33.80
(-) Cash Dividends Paid (M)12.00
(=) Cash Retained (M)21.80
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)6.764.232.54
Cash Retained (M)21.8021.8021.80
(-) Cash Required (M)-6.76-4.23-2.54
(=) Excess Retained (M)15.0417.5819.27
(/) Shares Outstanding (M)33.3533.3533.35
(=) Excess Retained per Share0.450.530.58
LTM Dividend per Share0.360.360.36
(+) Excess Retained per Share0.450.530.58
(=) Adjusted Dividend0.810.890.94
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate1.30%2.30%3.30%
Fair Value$10.53$13.34$16.70
Upside / Downside-80.03%-74.69%-68.33%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)33.8034.5835.3736.1937.0237.8739.01
Payout Ratio35.50%46.40%57.30%68.20%79.10%90.00%92.50%
Projected Dividends (M)12.0016.0420.2724.6829.2834.0836.08

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate1.30%2.30%3.30%
Year 1 PV (M)14.5614.7114.85
Year 2 PV (M)16.7017.0317.36
Year 3 PV (M)18.4519.0119.57
Year 4 PV (M)19.8720.6721.49
Year 5 PV (M)21.0022.0523.15
PV of Terminal Value (M)364.48382.82401.90
Equity Value (M)455.06476.29498.33
Shares Outstanding (M)33.3533.3533.35
Fair Value$13.64$14.28$14.94
Upside / Downside-74.12%-72.92%-71.66%

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