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WillScot Holdings Corporation (WSC)

Company Dividend Discount ModelIndustry: Rental & Leasing ServicesSector: Industrials

Valuation Snapshot

Stable Growth$28.43 - $75.42$43.48
Multi-Stage$19.30 - $21.10$20.18
Blended Fair Value$31.83
Current Price$21.11
Upside50.77%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
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--0.00%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)223.54
(-) Cash Dividends Paid (M)38.37
(=) Cash Retained (M)185.17
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)44.7127.9416.77
Cash Retained (M)185.17185.17185.17
(-) Cash Required (M)-44.71-27.94-16.77
(=) Excess Retained (M)140.46157.23168.41
(/) Shares Outstanding (M)184.43184.43184.43
(=) Excess Retained per Share0.760.850.91
LTM Dividend per Share0.210.210.21
(+) Excess Retained per Share0.760.850.91
(=) Adjusted Dividend0.971.061.12
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Fair Value$28.43$43.48$75.42
Upside / Downside34.68%105.95%257.28%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)223.54238.07253.55270.03287.58306.27315.46
Payout Ratio17.16%31.73%46.30%60.87%75.43%90.00%92.50%
Projected Dividends (M)38.3775.54117.39164.35216.93275.64291.80

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)68.5969.2469.89
Year 2 PV (M)96.7898.63100.49
Year 3 PV (M)123.04126.57130.17
Year 4 PV (M)147.46153.13158.96
Year 5 PV (M)170.13178.35186.88
PV of Terminal Value (M)2,953.433,096.083,244.20
Equity Value (M)3,559.433,721.993,890.58
Shares Outstanding (M)184.43184.43184.43
Fair Value$19.30$20.18$21.10
Upside / Downside-8.58%-4.40%-0.07%

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