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Liberty Financial Group Limited (LFG.AX)

Company Dividend Discount ModelIndustry: Financial - Credit ServicesSector: Financial Services

Valuation Snapshot

Stable Growth$63.76 - $162.68$152.46
Multi-Stage$24.08 - $26.32$25.18
Blended Fair Value$88.82
Current Price$3.34
Upside2,559.21%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS164.59%0.00%0.300.360.490.450.410.000.000.000.000.00
YoY Growth---16.08%-27.22%8.32%10.83%17,583.36%171.43%0.00%0.00%0.00%0.00%
Dividend Yield--8.94%9.61%13.46%11.22%5.18%0.03%0.01%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)249.78
(-) Cash Dividends Paid (M)199.78
(=) Cash Retained (M)50.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)49.9631.2218.73
Cash Retained (M)50.0050.0050.00
(-) Cash Required (M)-49.96-31.22-18.73
(=) Excess Retained (M)0.0418.7831.27
(/) Shares Outstanding (M)305.34305.34305.34
(=) Excess Retained per Share0.000.060.10
LTM Dividend per Share0.650.650.65
(+) Excess Retained per Share0.000.060.10
(=) Adjusted Dividend0.650.720.76
WACC / Discount Rate6.58%6.58%6.58%
Growth Rate5.50%6.50%7.50%
Fair Value$63.76$152.46$162.68
Upside / Downside1,808.90%4,464.61%4,770.75%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)249.78266.01283.30301.72321.33342.22352.48
Payout Ratio79.98%81.99%83.99%85.99%88.00%90.00%92.50%
Projected Dividends (M)199.78218.09237.95259.46282.76307.99326.05

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.58%6.58%6.58%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)202.70204.62206.54
Year 2 PV (M)205.55209.46213.41
Year 3 PV (M)208.31214.29220.38
Year 4 PV (M)211.00219.11227.46
Year 5 PV (M)213.61223.93234.64
PV of Terminal Value (M)6,311.406,616.256,932.76
Equity Value (M)7,352.577,687.668,035.20
Shares Outstanding (M)305.34305.34305.34
Fair Value$24.08$25.18$26.32
Upside / Downside620.95%653.80%687.88%

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