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Taiwan Taxi Co.,Ltd. (2640.TWO)

Company Dividend Discount ModelIndustry: RailroadsSector: Industrials

Valuation Snapshot

Stable Growth$848.46 - $1,794.65$1,681.85
Multi-Stage$279.93 - $306.02$292.74
Blended Fair Value$987.30
Current Price$129.00
Upside665.35%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS16.05%0.00%6.005.003.503.713.362.850.000.000.000.00
YoY Growth--20.01%42.86%-5.77%10.68%17.73%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--4.56%4.25%3.04%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)534.89
(-) Cash Dividends Paid (M)414.86
(=) Cash Retained (M)120.04
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)106.9866.8640.12
Cash Retained (M)120.04120.04120.04
(-) Cash Required (M)-106.98-66.86-40.12
(=) Excess Retained (M)13.0653.1879.92
(/) Shares Outstanding (M)59.2759.2759.27
(=) Excess Retained per Share0.220.901.35
LTM Dividend per Share7.007.007.00
(+) Excess Retained per Share0.220.901.35
(=) Adjusted Dividend7.227.908.35
WACC / Discount Rate6.40%6.40%6.40%
Growth Rate5.50%6.50%7.50%
Fair Value$848.46$1,681.85$1,794.65
Upside / Downside557.72%1,203.76%1,291.20%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)534.89569.66606.69646.13688.12732.85754.84
Payout Ratio77.56%80.05%82.54%85.02%87.51%90.00%92.50%
Projected Dividends (M)414.86456.00500.73549.36602.19659.57698.22

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.40%6.40%6.40%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)424.55428.58432.60
Year 2 PV (M)434.06442.32450.67
Year 3 PV (M)443.37456.10469.07
Year 4 PV (M)452.50469.90487.80
Year 5 PV (M)461.44483.72506.86
PV of Terminal Value (M)14,377.0015,071.4215,792.41
Equity Value (M)16,592.9217,352.0418,139.41
Shares Outstanding (M)59.2759.2759.27
Fair Value$279.93$292.74$306.02
Upside / Downside117.00%126.93%137.23%

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