Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Trans-Sun Materials Technology Company Limited (6967.TWO)

Company Dividend Discount ModelIndustry: Chemicals - SpecialtySector: Basic Materials

Valuation Snapshot

Stable Growth$23.25 - $33.03$28.07
Multi-Stage$38.53 - $42.12$40.29
Blended Fair Value$34.18
Current Price$56.90
Upside-39.93%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR20242023202220212020
DPS0.00%0.00%3.173.346.818.2610.550.000.000.000.000.00
YoY Growth---5.12%-50.98%-17.59%-21.66%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--6.38%4.68%9.73%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)87.31
(-) Cash Dividends Paid (M)69.73
(=) Cash Retained (M)17.58
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)17.4610.916.55
Cash Retained (M)17.5817.5817.58
(-) Cash Required (M)-17.46-10.91-6.55
(=) Excess Retained (M)0.126.6711.03
(/) Shares Outstanding (M)24.9424.9424.94
(=) Excess Retained per Share0.000.270.44
LTM Dividend per Share2.802.802.80
(+) Excess Retained per Share0.000.270.44
(=) Adjusted Dividend2.803.063.24
WACC / Discount Rate9.81%9.81%9.81%
Growth Rate-2.00%-1.00%0.00%
Fair Value$23.25$28.07$33.03
Upside / Downside-59.14%-50.67%-41.96%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)87.3186.4485.5784.7283.8783.0385.52
Payout Ratio79.87%81.89%83.92%85.95%87.97%90.00%92.50%
Projected Dividends (M)69.7370.7971.8172.8173.7874.7379.11

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.81%9.81%9.81%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)63.8164.4765.12
Year 2 PV (M)58.3659.5660.77
Year 3 PV (M)53.3555.0056.68
Year 4 PV (M)48.7350.7552.84
Year 5 PV (M)44.5046.8149.23
PV of Terminal Value (M)692.12728.16765.69
Equity Value (M)960.881,004.751,050.32
Shares Outstanding (M)24.9424.9424.94
Fair Value$38.53$40.29$42.12
Upside / Downside-32.29%-29.19%-25.98%

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