Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

Computershare Limited (CPU.AX)

Company Dividend Discount ModelIndustry: Financial - Capital MarketsSector: Financial Services

Valuation Snapshot

Stable Growth$41.93 - $84.48$58.43
Multi-Stage$49.04 - $53.70$51.33
Blended Fair Value$54.88
Current Price$35.69
Upside53.77%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS4.71%6.12%0.490.460.360.320.380.390.360.320.290.28
YoY Growth--6.14%27.98%13.31%-17.23%-1.19%6.12%12.21%12.68%1.68%5.42%
Dividend Yield--1.36%1.89%1.73%1.44%2.42%3.10%2.36%1.81%2.04%3.20%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,472.42
(-) Cash Dividends Paid (M)762.50
(=) Cash Retained (M)709.92
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)294.48184.05110.43
Cash Retained (M)709.92709.92709.92
(-) Cash Required (M)-294.48-184.05-110.43
(=) Excess Retained (M)415.44525.87599.49
(/) Shares Outstanding (M)598.50598.50598.50
(=) Excess Retained per Share0.690.881.00
LTM Dividend per Share1.271.271.27
(+) Excess Retained per Share0.690.881.00
(=) Adjusted Dividend1.972.152.28
WACC / Discount Rate7.54%7.54%7.54%
Growth Rate2.71%3.71%4.71%
Fair Value$41.93$58.43$84.48
Upside / Downside17.50%63.73%136.70%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,472.421,527.111,583.841,642.671,703.681,766.961,819.97
Payout Ratio51.79%59.43%67.07%74.71%82.36%90.00%92.50%
Projected Dividends (M)762.50907.531,062.301,227.301,403.101,590.271,683.47

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.54%7.54%7.54%
Growth Rate2.71%3.71%4.71%
Year 1 PV (M)835.80843.94852.08
Year 2 PV (M)901.01918.64936.44
Year 3 PV (M)958.69986.961,015.79
Year 4 PV (M)1,009.381,049.271,090.33
Year 5 PV (M)1,053.611,105.901,160.26
PV of Terminal Value (M)24,593.5925,814.3127,083.03
Equity Value (M)29,352.0830,719.0332,137.92
Shares Outstanding (M)598.50598.50598.50
Fair Value$49.04$51.33$53.70
Upside / Downside37.41%43.81%50.45%

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