Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

Richards Packaging Income Fund (RPI-UN.TO)

Company Dividend Discount ModelIndustry: Packaging & ContainersSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$36.89 - $79.02$52.56
Multi-Stage$32.47 - $35.38$33.90
Blended Fair Value$43.23
Current Price$34.50
Upside25.30%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS5.72%6.64%1.681.281.931.291.301.271.361.311.100.91
YoY Growth--31.17%-33.59%49.10%-0.37%2.04%-6.66%3.85%19.55%20.16%3.39%
Dividend Yield--6.26%3.77%4.85%2.55%1.87%3.27%3.54%4.19%4.21%4.35%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)22.37
(-) Cash Dividends Paid (M)18.53
(=) Cash Retained (M)3.84
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)4.472.801.68
Cash Retained (M)3.843.843.84
(-) Cash Required (M)-4.47-2.80-1.68
(=) Excess Retained (M)-0.641.042.16
(/) Shares Outstanding (M)11.4211.4211.42
(=) Excess Retained per Share-0.060.090.19
LTM Dividend per Share1.621.621.62
(+) Excess Retained per Share-0.060.090.19
(=) Adjusted Dividend1.571.711.81
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate4.64%5.64%6.64%
Fair Value$36.89$52.56$79.02
Upside / Downside6.93%52.34%129.04%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)22.3723.6324.9626.3727.8629.4330.31
Payout Ratio82.84%84.28%85.71%87.14%88.57%90.00%92.50%
Projected Dividends (M)18.5319.9221.4022.9824.6726.4828.04

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate4.64%5.64%6.64%
Year 1 PV (M)18.0918.2618.43
Year 2 PV (M)17.6417.9818.32
Year 3 PV (M)17.2117.7018.21
Year 4 PV (M)16.7817.4318.10
Year 5 PV (M)16.3517.1517.98
PV of Terminal Value (M)284.68298.54312.94
Equity Value (M)370.74387.06403.98
Shares Outstanding (M)11.4211.4211.42
Fair Value$32.47$33.90$35.38
Upside / Downside-5.88%-1.74%2.55%

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