Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Vertu Motors plc (VTU.L)

Company Dividend Discount ModelIndustry: Auto - DealershipsSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$2.85 - $7.41$4.33
Multi-Stage$1.99 - $2.17$2.08
Blended Fair Value$3.20
Current Price$0.52
Upside514.76%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS5.38%10.64%0.020.020.020.010.020.020.020.020.020.01
YoY Growth--2.51%29.25%157.97%-61.99%0.00%8.22%-0.37%6.07%36.45%35.51%
Dividend Yield--4.30%3.31%2.77%1.09%4.52%5.44%4.13%3.71%3.16%1.70%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)43.82
(-) Cash Dividends Paid (M)15.71
(=) Cash Retained (M)28.10
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)8.765.483.29
Cash Retained (M)28.1028.1028.10
(-) Cash Required (M)-8.76-5.48-3.29
(=) Excess Retained (M)19.3422.6324.82
(/) Shares Outstanding (M)355.19355.19355.19
(=) Excess Retained per Share0.050.060.07
LTM Dividend per Share0.040.040.04
(+) Excess Retained per Share0.050.060.07
(=) Adjusted Dividend0.100.110.11
WACC / Discount Rate9.16%9.16%9.16%
Growth Rate5.50%6.50%7.50%
Fair Value$2.85$4.33$7.41
Upside / Downside446.67%730.89%1,322.16%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)43.8246.6649.7052.9356.3760.0361.83
Payout Ratio35.86%46.69%57.52%68.34%79.17%90.00%92.50%
Projected Dividends (M)15.7121.7928.5836.1744.6354.0357.20

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.16%9.16%9.16%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)19.7719.9620.15
Year 2 PV (M)23.5423.9924.44
Year 3 PV (M)27.0427.8128.60
Year 4 PV (M)30.2731.4432.63
Year 5 PV (M)33.2634.8736.53
PV of Terminal Value (M)571.98599.61628.29
Equity Value (M)705.86737.67770.65
Shares Outstanding (M)355.19355.19355.19
Fair Value$1.99$2.08$2.17
Upside / Downside281.44%298.62%316.45%

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