Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

WAM Microcap Limited (WMI.AX)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$2.36 - $3.45$2.89
Multi-Stage$4.19 - $4.60$4.39
Blended Fair Value$3.64
Current Price$1.45
Upside150.95%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019
DPS0.00%0.00%0.000.090.080.090.070.040.030.000.000.00
YoY Growth---100.00%19.04%-19.79%30.87%90.96%18.95%0.00%0.00%0.00%0.00%
Dividend Yield--0.00%6.46%5.35%5.77%3.93%3.09%2.57%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)77.79
(-) Cash Dividends Paid (M)40.99
(=) Cash Retained (M)36.80
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)15.569.725.83
Cash Retained (M)36.8036.8036.80
(-) Cash Required (M)-15.56-9.72-5.83
(=) Excess Retained (M)21.2427.0830.97
(/) Shares Outstanding (M)248.01248.01248.01
(=) Excess Retained per Share0.090.110.12
LTM Dividend per Share0.170.170.17
(+) Excess Retained per Share0.090.110.12
(=) Adjusted Dividend0.250.270.29
WACC / Discount Rate8.41%8.41%8.41%
Growth Rate-2.00%-1.00%0.00%
Fair Value$2.36$2.89$3.45
Upside / Downside62.83%99.03%137.78%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)77.7977.0176.2475.4874.7273.9876.20
Payout Ratio52.69%60.15%67.62%75.08%82.54%90.00%92.50%
Projected Dividends (M)40.9946.3351.5556.6761.6866.5870.48

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.41%8.41%8.41%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)42.3042.7343.16
Year 2 PV (M)42.9843.8644.75
Year 3 PV (M)43.1444.4745.83
Year 4 PV (M)42.8744.6446.48
Year 5 PV (M)42.2544.4546.74
PV of Terminal Value (M)826.04869.05913.84
Equity Value (M)1,039.571,089.211,140.80
Shares Outstanding (M)248.01248.01248.01
Fair Value$4.19$4.39$4.60
Upside / Downside189.08%202.88%217.23%

High-Yield Dividend Screener

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