Definitive Analysis
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Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

Cohen & Steers Select Preferred and Income Fund, Inc. (PSF)

Company Dividend Discount ModelIndustry: Asset Management - IncomeSector: Financial Services

Valuation Snapshot

Stable Growth$24.70 - $33.35$29.13
Multi-Stage$57.12 - $62.97$59.99
Blended Fair Value$44.56
Current Price$20.14
Upside121.25%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR20242023202220212020201920182017
DPS-5.86%0.00%1.511.562.161.861.962.052.162.430.000.00
YoY Growth---3.29%-27.61%15.85%-4.68%-4.37%-5.23%-11.07%0.00%0.00%0.00%
Dividend Yield--7.65%8.27%11.54%6.96%6.96%6.49%9.08%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)64.59
(-) Cash Dividends Paid (M)36.35
(=) Cash Retained (M)28.24
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)12.928.074.84
Cash Retained (M)28.2428.2428.24
(-) Cash Required (M)-12.92-8.07-4.84
(=) Excess Retained (M)15.3220.1623.39
(/) Shares Outstanding (M)12.0312.0312.03
(=) Excess Retained per Share1.271.681.94
LTM Dividend per Share3.023.023.02
(+) Excess Retained per Share1.271.681.94
(=) Adjusted Dividend4.304.704.97
WACC / Discount Rate8.16%8.16%8.16%
Growth Rate-7.86%-6.86%-5.86%
Fair Value$24.70$29.13$33.35
Upside / Downside22.66%44.64%65.57%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)64.5960.1656.0352.1848.6045.2746.63
Payout Ratio56.28%63.02%69.77%76.51%83.26%90.00%92.50%
Projected Dividends (M)36.3537.9139.0939.9340.4740.7443.13

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.16%8.16%8.16%
Growth Rate-7.86%-6.86%-5.86%
Year 1 PV (M)34.6735.0535.43
Year 2 PV (M)32.7033.4134.13
Year 3 PV (M)30.5531.5532.58
Year 4 PV (M)28.3229.5730.86
Year 5 PV (M)26.0827.5229.03
PV of Terminal Value (M)534.77564.43595.39
Equity Value (M)687.09721.54757.42
Shares Outstanding (M)12.0312.0312.03
Fair Value$57.12$59.99$62.97
Upside / Downside183.63%197.85%212.67%

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