Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

PROG Holdings, Inc. (PRG)

Company Dividend Discount ModelIndustry: Rental & Leasing ServicesSector: Industrials

Valuation Snapshot

Stable Growth$126.59 - $625.94$225.75
Multi-Stage$75.40 - $82.50$78.88
Blended Fair Value$152.32
Current Price$32.36
Upside370.70%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS16.66%10.06%0.490.000.000.000.330.230.150.190.180.16
YoY Growth--0.00%0.00%0.00%-100.00%46.00%51.16%-21.59%7.30%8.77%-12.80%
Dividend Yield--1.84%0.00%0.00%0.00%0.76%1.00%0.28%0.41%0.60%0.65%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)163.87
(-) Cash Dividends Paid (M)20.60
(=) Cash Retained (M)143.27
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)32.7720.4812.29
Cash Retained (M)143.27143.27143.27
(-) Cash Required (M)-32.77-20.48-12.29
(=) Excess Retained (M)110.50122.79130.98
(/) Shares Outstanding (M)41.6141.6141.61
(=) Excess Retained per Share2.662.953.15
LTM Dividend per Share0.490.490.49
(+) Excess Retained per Share2.662.953.15
(=) Adjusted Dividend3.153.453.64
WACC / Discount Rate8.13%8.13%8.13%
Growth Rate5.50%6.50%7.50%
Fair Value$126.59$225.75$625.94
Upside / Downside291.20%597.63%1,834.29%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)163.87174.52185.86197.95210.81224.51231.25
Payout Ratio12.57%28.05%43.54%59.03%74.51%90.00%92.50%
Projected Dividends (M)20.6048.9680.93116.84157.08202.06213.91

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.13%8.13%8.13%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)44.8645.2845.71
Year 2 PV (M)67.9369.2270.53
Year 3 PV (M)89.8592.4395.06
Year 4 PV (M)110.67114.93119.30
Year 5 PV (M)130.42136.72143.26
PV of Terminal Value (M)2,693.692,823.792,958.88
Equity Value (M)3,137.423,282.383,432.74
Shares Outstanding (M)41.6141.6141.61
Fair Value$75.40$78.88$82.50
Upside / Downside133.01%143.77%154.94%

High-Yield Dividend Screener

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