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HEICO Corporation (0J46.L)

Company Dividend Discount ModelIndustry: Industrial - Capital GoodsSector: Industrials

Valuation Snapshot

Stable Growth$107.04 - $283.95$163.68
Multi-Stage$71.62 - $78.34$74.92
Blended Fair Value$119.30
Current Price$325.94
Upside-63.40%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS9.23%13.81%0.210.190.170.160.150.130.110.090.080.07
YoY Growth--6.21%11.87%6.36%6.73%15.31%21.66%19.96%19.42%14.78%17.23%
Dividend Yield--0.09%0.11%0.10%0.12%0.13%0.11%0.14%0.14%0.12%0.11%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)641.78
(-) Cash Dividends Paid (M)31.97
(=) Cash Retained (M)609.81
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)128.3680.2248.13
Cash Retained (M)609.81609.81609.81
(-) Cash Required (M)-128.36-80.22-48.13
(=) Excess Retained (M)481.45529.59561.68
(/) Shares Outstanding (M)140.64140.64140.64
(=) Excess Retained per Share3.423.773.99
LTM Dividend per Share0.230.230.23
(+) Excess Retained per Share3.423.773.99
(=) Adjusted Dividend3.653.994.22
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Fair Value$107.04$163.68$283.95
Upside / Downside-67.16%-49.78%-12.88%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)641.78683.49727.92775.23825.62879.29905.67
Payout Ratio4.98%21.98%38.99%55.99%73.00%90.00%92.50%
Projected Dividends (M)31.97150.27283.81434.07602.67791.36837.74

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)136.44137.73139.03
Year 2 PV (M)233.99238.45242.94
Year 3 PV (M)324.95334.28343.79
Year 4 PV (M)409.66425.42441.62
Year 5 PV (M)488.43512.02536.52
PV of Terminal Value (M)8,479.188,888.739,313.95
Equity Value (M)10,072.6610,536.6311,017.85
Shares Outstanding (M)140.64140.64140.64
Fair Value$71.62$74.92$78.34
Upside / Downside-78.03%-77.01%-75.97%

High-Yield Dividend Screener

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