Definitive Analysis
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Definitive Analysis

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Starts Corporation Inc. (8850.T)

Company Dividend Discount ModelIndustry: Real Estate - DiversifiedSector: Real Estate

Valuation Snapshot

Stable Growth$46,969.51 - $94,514.29$88,573.73
Multi-Stage$14,449.77 - $15,824.28$15,124.37
Blended Fair Value$51,849.05
Current Price$5,080.00
Upside920.65%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS7.61%10.46%112.35101.9584.7068.2364.9577.8667.0564.8954.0647.60
YoY Growth--10.20%20.37%24.14%5.04%-16.58%16.12%3.33%20.03%13.58%14.53%
Dividend Yield--2.47%3.04%2.88%2.45%2.28%3.53%2.56%2.40%2.02%2.35%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)23,084.00
(-) Cash Dividends Paid (M)5,854.00
(=) Cash Retained (M)17,230.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)4,616.802,885.501,731.30
Cash Retained (M)17,230.0017,230.0017,230.00
(-) Cash Required (M)-4,616.80-2,885.50-1,731.30
(=) Excess Retained (M)12,613.2014,344.5015,498.70
(/) Shares Outstanding (M)48.5748.5748.57
(=) Excess Retained per Share259.68295.32319.08
LTM Dividend per Share120.52120.52120.52
(+) Excess Retained per Share259.68295.32319.08
(=) Adjusted Dividend380.20415.84439.60
WACC / Discount Rate6.35%6.35%6.35%
Growth Rate5.50%6.50%7.50%
Fair Value$46,969.51$88,573.73$94,514.29
Upside / Downside824.60%1,643.58%1,760.52%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)23,084.0024,584.4626,182.4527,884.3129,696.7931,627.0832,575.89
Payout Ratio25.36%38.29%51.22%64.14%77.07%90.00%92.50%
Projected Dividends (M)5,854.009,412.8113,409.5317,886.0622,887.8828,464.3730,132.70

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.35%6.35%6.35%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)8,767.358,850.468,933.56
Year 2 PV (M)11,633.5411,855.1312,078.80
Year 3 PV (M)14,453.1414,868.0415,290.80
Year 4 PV (M)17,226.7017,889.1918,570.61
Year 5 PV (M)19,954.8020,918.6221,919.33
PV of Terminal Value (M)629,831.36660,252.45691,837.83
Equity Value (M)701,866.90734,633.89768,630.94
Shares Outstanding (M)48.5748.5748.57
Fair Value$14,449.77$15,124.37$15,824.28
Upside / Downside184.44%197.72%211.50%

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