Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

United Bankshares, Inc. (UBSI)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$23.79 - $34.37$28.94
Multi-Stage$21.61 - $23.42$22.50
Blended Fair Value$25.72
Current Price$37.21
Upside-30.88%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS7.64%9.30%1.431.381.371.291.160.991.010.860.680.63
YoY Growth--3.08%0.87%6.49%11.41%17.11%-2.40%17.30%25.95%8.43%7.72%
Dividend Yield--4.11%3.93%3.89%3.69%2.99%4.27%2.74%2.44%1.62%1.72%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)430.18
(-) Cash Dividends Paid (M)206.71
(=) Cash Retained (M)223.47
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)86.0453.7732.26
Cash Retained (M)223.47223.47223.47
(-) Cash Required (M)-86.04-53.77-32.26
(=) Excess Retained (M)137.43169.70191.21
(/) Shares Outstanding (M)140.83140.83140.83
(=) Excess Retained per Share0.981.201.36
LTM Dividend per Share1.471.471.47
(+) Excess Retained per Share0.981.201.36
(=) Adjusted Dividend2.442.672.83
WACC / Discount Rate16.34%16.34%16.34%
Growth Rate5.50%6.50%7.50%
Fair Value$23.79$28.94$34.37
Upside / Downside-36.07%-22.24%-7.63%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)430.18458.14487.92519.64553.42589.39607.07
Payout Ratio48.05%56.44%64.83%73.22%81.61%90.00%92.50%
Projected Dividends (M)206.71258.58316.33380.48451.65530.45561.54

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate16.34%16.34%16.34%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)220.18222.27224.36
Year 2 PV (M)229.35233.72238.13
Year 3 PV (M)234.90241.64248.52
Year 4 PV (M)237.43246.56255.95
Year 5 PV (M)237.44248.91260.82
PV of Terminal Value (M)1,884.591,975.622,070.13
Equity Value (M)3,043.903,168.733,297.90
Shares Outstanding (M)140.83140.83140.83
Fair Value$21.61$22.50$23.42
Upside / Downside-41.91%-39.53%-37.07%

High-Yield Dividend Screener

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