Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Templeton Emerging Markets Income Fund (TEI)

Company Dividend Discount ModelIndustry: Asset Management - IncomeSector: Financial Services

Valuation Snapshot

Stable Growth$5.59 - $7.44$6.55
Multi-Stage$16.26 - $17.99$17.11
Blended Fair Value$11.83
Current Price$6.00
Upside97.14%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.00%-8.70%0.460.450.530.000.000.000.530.500.130.93
YoY Growth--0.40%-14.09%0.00%0.00%0.00%-100.00%5.48%293.54%-86.21%-17.90%
Dividend Yield--8.89%8.89%9.63%0.00%0.00%0.00%5.53%4.52%1.18%8.46%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)82.95
(-) Cash Dividends Paid (M)53.63
(=) Cash Retained (M)29.32
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)16.5910.376.22
Cash Retained (M)29.3229.3229.32
(-) Cash Required (M)-16.59-10.37-6.22
(=) Excess Retained (M)12.7318.9523.10
(/) Shares Outstanding (M)59.0459.0459.04
(=) Excess Retained per Share0.220.320.39
LTM Dividend per Share0.910.910.91
(+) Excess Retained per Share0.220.320.39
(=) Adjusted Dividend1.121.231.30
WACC / Discount Rate7.12%7.12%7.12%
Growth Rate-10.81%-9.81%-8.81%
Fair Value$5.59$6.55$7.44
Upside / Downside-6.84%9.12%23.96%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)82.9574.8167.4760.8554.8849.4950.98
Payout Ratio64.65%69.72%74.79%79.86%84.93%90.00%92.50%
Projected Dividends (M)53.6352.1650.4648.5946.6144.5447.15

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.12%7.12%7.12%
Growth Rate-10.81%-9.81%-8.81%
Year 1 PV (M)48.1548.6949.23
Year 2 PV (M)43.0043.9744.95
Year 3 PV (M)38.2339.5340.86
Year 4 PV (M)33.8535.3936.99
Year 5 PV (M)29.8731.5833.37
PV of Terminal Value (M)766.93810.90856.87
Equity Value (M)960.041,010.071,062.28
Shares Outstanding (M)59.0459.0459.04
Fair Value$16.26$17.11$17.99
Upside / Downside171.03%185.16%199.90%

High-Yield Dividend Screener

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