Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

FSE Lifestyle Services Limited (0331.HK)

Company Dividend Discount ModelIndustry: Engineering & ConstructionSector: Industrials

Valuation Snapshot

Stable Growth$15.62 - $22.71$19.05
Multi-Stage$26.54 - $29.15$27.82
Blended Fair Value$23.44
Current Price$5.70
Upside311.15%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS0.00%0.00%0.000.440.490.370.600.290.360.350.280.05
YoY Growth---100.00%-10.08%31.35%-37.84%105.80%-18.78%2.35%24.64%458.22%-92.53%
Dividend Yield--0.00%7.78%8.06%7.18%9.52%9.27%10.89%12.79%11.78%2.42%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)950.05
(-) Cash Dividends Paid (M)301.40
(=) Cash Retained (M)648.65
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)190.01118.7671.25
Cash Retained (M)648.65648.65648.65
(-) Cash Required (M)-190.01-118.76-71.25
(=) Excess Retained (M)458.64529.89577.39
(/) Shares Outstanding (M)450.00450.00450.00
(=) Excess Retained per Share1.021.181.28
LTM Dividend per Share0.670.670.67
(+) Excess Retained per Share1.021.181.28
(=) Adjusted Dividend1.691.851.95
WACC / Discount Rate8.60%8.60%8.60%
Growth Rate-2.00%-1.00%0.00%
Fair Value$15.62$19.05$22.71
Upside / Downside173.96%234.23%298.40%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)950.05940.55931.15921.83912.62903.49930.59
Payout Ratio31.73%43.38%55.04%66.69%78.35%90.00%92.50%
Projected Dividends (M)301.40408.01512.46614.77714.99813.14860.80

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.60%8.60%8.60%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)371.91375.70379.50
Year 2 PV (M)425.78434.51443.33
Year 3 PV (M)465.59479.99494.68
Year 4 PV (M)493.57514.03535.11
Year 5 PV (M)511.66538.30566.04
PV of Terminal Value (M)9,672.7810,176.4610,700.92
Equity Value (M)11,941.2812,518.9913,119.57
Shares Outstanding (M)450.00450.00450.00
Fair Value$26.54$27.82$29.15
Upside / Downside365.55%388.07%411.48%

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