Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Parabellum Acquisition Corp. (PRBM)

Company Dividend Discount ModelIndustry: Shell CompaniesSector: Financial Services

Valuation Snapshot

Stable Growth$9.28 - $13.13$11.18
Multi-Stage$13.50 - $14.84$14.16
Blended Fair Value$12.67
Current Price$9.89
Upside28.11%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2021
DPS0.00%0.00%0.000.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.01%0.00%0.00%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)17.99
(-) Cash Dividends Paid (M)0.92
(=) Cash Retained (M)17.07
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3.602.251.35
Cash Retained (M)17.0717.0717.07
(-) Cash Required (M)-3.60-2.25-1.35
(=) Excess Retained (M)13.4714.8215.72
(/) Shares Outstanding (M)12.6712.6712.67
(=) Excess Retained per Share1.061.171.24
LTM Dividend per Share0.070.070.07
(+) Excess Retained per Share1.061.171.24
(=) Adjusted Dividend1.141.241.31
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate-2.00%-1.00%0.00%
Fair Value$9.28$11.18$13.13
Upside / Downside-6.20%13.06%32.80%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)17.9917.8117.6317.4617.2817.1117.62
Payout Ratio5.11%22.09%39.07%56.05%73.02%90.00%92.50%
Projected Dividends (M)0.923.936.899.7812.6215.4016.30

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)3.543.583.61
Year 2 PV (M)5.585.695.81
Year 3 PV (M)7.137.357.58
Year 4 PV (M)8.288.628.97
Year 5 PV (M)9.099.5610.05
PV of Terminal Value (M)137.44144.60152.05
Equity Value (M)171.06179.40188.08
Shares Outstanding (M)12.6712.6712.67
Fair Value$13.50$14.16$14.84
Upside / Downside36.50%43.16%50.08%

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