Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

Haugesund Sparebank (HGSB.OL)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$1,051.60 - $2,092.09$1,458.48
Multi-Stage$832.85 - $909.44$870.45
Blended Fair Value$1,164.46
Current Price$160.50
Upside625.52%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS17.82%0.00%6.154.874.874,498.562.622.710.000.000.000.00
YoY Growth--26.15%0.00%-99.89%171,328.57%-3.08%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--3.51%3.21%3.21%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)184.10
(-) Cash Dividends Paid (M)46.58
(=) Cash Retained (M)137.53
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)36.8223.0113.81
Cash Retained (M)137.53137.53137.53
(-) Cash Required (M)-36.82-23.01-13.81
(=) Excess Retained (M)100.71114.51123.72
(/) Shares Outstanding (M)3.003.003.00
(=) Excess Retained per Share33.5638.1641.23
LTM Dividend per Share15.5215.5215.52
(+) Excess Retained per Share33.5638.1641.23
(=) Adjusted Dividend49.0853.6856.75
WACC / Discount Rate10.01%10.01%10.01%
Growth Rate5.10%6.10%7.10%
Fair Value$1,051.60$1,458.48$2,092.09
Upside / Downside555.20%808.71%1,203.48%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)184.10195.33207.25219.89233.31247.54254.97
Payout Ratio25.30%38.24%51.18%64.12%77.06%90.00%92.50%
Projected Dividends (M)46.5874.69106.07141.00179.79222.79235.85

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate10.01%10.01%10.01%
Growth Rate5.10%6.10%7.10%
Year 1 PV (M)67.2667.9068.54
Year 2 PV (M)86.0187.6589.31
Year 3 PV (M)102.95105.91108.94
Year 4 PV (M)118.21122.77127.47
Year 5 PV (M)131.90138.30144.94
PV of Terminal Value (M)1,993.032,089.662,190.01
Equity Value (M)2,499.352,612.202,729.20
Shares Outstanding (M)3.003.003.00
Fair Value$832.85$870.45$909.44
Upside / Downside418.91%442.34%466.63%

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