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Premier Investments Limited (PMV.AX)

Company Dividend Discount ModelIndustry: Apparel - RetailSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$27.24 - $39.64$33.24
Multi-Stage$56.54 - $62.18$59.31
Blended Fair Value$46.27
Current Price$20.65
Upside124.09%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS13.77%3.66%0.701.221.480.911.030.370.650.550.500.43
YoY Growth---43.05%-17.28%62.19%-11.44%181.69%-43.88%18.10%10.10%16.50%-11.62%
Dividend Yield--3.38%3.69%6.69%4.36%3.84%2.18%4.14%3.18%3.67%2.64%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)596.14
(-) Cash Dividends Paid (M)308.01
(=) Cash Retained (M)288.13
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)119.2374.5244.71
Cash Retained (M)288.13288.13288.13
(-) Cash Required (M)-119.23-74.52-44.71
(=) Excess Retained (M)168.91213.62243.42
(/) Shares Outstanding (M)160.26160.26160.26
(=) Excess Retained per Share1.051.331.52
LTM Dividend per Share1.921.921.92
(+) Excess Retained per Share1.051.331.52
(=) Adjusted Dividend2.983.253.44
WACC / Discount Rate7.54%7.54%7.54%
Growth Rate-3.05%-2.05%-1.05%
Fair Value$27.24$33.24$39.64
Upside / Downside31.93%60.99%91.94%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)596.14583.93571.96560.25548.77537.53553.65
Payout Ratio51.67%59.33%67.00%74.67%82.33%90.00%92.50%
Projected Dividends (M)308.01346.46383.22418.32451.82483.77512.13

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.54%7.54%7.54%
Growth Rate-3.05%-2.05%-1.05%
Year 1 PV (M)318.88322.17325.46
Year 2 PV (M)324.62331.36338.16
Year 3 PV (M)326.15336.34346.75
Year 4 PV (M)324.22337.81351.81
Year 5 PV (M)319.51336.33353.86
PV of Terminal Value (M)7,448.377,840.518,248.99
Equity Value (M)9,061.759,504.519,965.02
Shares Outstanding (M)160.26160.26160.26
Fair Value$56.54$59.31$62.18
Upside / Downside173.81%187.19%201.11%

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