Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Sinopec Oilfield Service Corporation (600871.SS)

Company Dividend Discount ModelIndustry: Oil & Gas DrillingSector: Energy

Valuation Snapshot

Stable Growth$0.24 - $0.34$0.29
Multi-Stage$0.45 - $0.49$0.47
Blended Fair Value$0.38
Current Price$2.07
Upside-81.79%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-4.68%0.07%0.040.040.030.030.040.050.030.040.020.02
YoY Growth---5.56%17.93%-1.17%-26.10%-3.27%39.33%-13.49%64.32%29.66%-50.15%
Dividend Yield--1.87%2.01%1.54%1.65%2.19%2.21%1.20%1.87%0.63%0.36%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)624.52
(-) Cash Dividends Paid (M)506.02
(=) Cash Retained (M)118.50
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)124.9078.0646.84
Cash Retained (M)118.50118.50118.50
(-) Cash Required (M)-124.90-78.06-46.84
(=) Excess Retained (M)-6.4040.4471.67
(/) Shares Outstanding (M)18,675.1918,675.1918,675.19
(=) Excess Retained per Share0.000.000.00
LTM Dividend per Share0.030.030.03
(+) Excess Retained per Share0.000.000.00
(=) Adjusted Dividend0.030.030.03
WACC / Discount Rate8.47%8.47%8.47%
Growth Rate-2.57%-1.57%-0.57%
Fair Value$0.24$0.29$0.34
Upside / Downside-88.59%-86.13%-83.55%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)624.52614.74605.11595.64586.31577.13594.44
Payout Ratio81.02%82.82%84.61%86.41%88.20%90.00%92.50%
Projected Dividends (M)506.02509.13512.02514.69517.15519.42549.86

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.47%8.47%8.47%
Growth Rate-2.57%-1.57%-0.57%
Year 1 PV (M)464.60469.37474.14
Year 2 PV (M)426.38435.18444.07
Year 3 PV (M)391.13403.29415.71
Year 4 PV (M)358.63373.58389.00
Year 5 PV (M)328.70345.92363.85
PV of Terminal Value (M)6,361.916,695.157,042.22
Equity Value (M)8,331.368,722.509,128.98
Shares Outstanding (M)18,675.1918,675.1918,675.19
Fair Value$0.45$0.47$0.49
Upside / Downside-78.45%-77.44%-76.39%

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