Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Inspur Digital Enterprise Technology Limited (0596.HK)

Company Dividend Discount ModelIndustry: Software - ApplicationSector: Technology

Valuation Snapshot

Stable Growth$13.02 - $28.23$18.63
Multi-Stage$10.95 - $11.99$11.46
Blended Fair Value$15.04
Current Price$7.54
Upside99.52%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-5.75%2.26%0.030.020.000.000.000.040.020.020.020.02
YoY Growth--49.88%0.00%0.00%0.00%-100.00%59.39%5.68%0.00%0.00%-0.20%
Dividend Yield--0.80%0.93%0.00%0.00%0.00%1.25%0.74%1.11%1.39%1.67%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)781.56
(-) Cash Dividends Paid (M)55.86
(=) Cash Retained (M)725.70
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)156.3197.6958.62
Cash Retained (M)725.70725.70725.70
(-) Cash Required (M)-156.31-97.69-58.62
(=) Excess Retained (M)569.39628.01667.08
(/) Shares Outstanding (M)1,143.381,143.381,143.38
(=) Excess Retained per Share0.500.550.58
LTM Dividend per Share0.050.050.05
(+) Excess Retained per Share0.500.550.58
(=) Adjusted Dividend0.550.600.63
WACC / Discount Rate8.72%8.72%8.72%
Growth Rate4.34%5.34%6.34%
Fair Value$13.02$18.63$28.23
Upside / Downside72.70%147.09%274.40%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)781.56823.28867.23913.53962.301,013.681,044.09
Payout Ratio7.15%23.72%40.29%56.86%73.43%90.00%92.50%
Projected Dividends (M)55.86195.26349.39519.42706.61912.31965.78

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.72%8.72%8.72%
Growth Rate4.34%5.34%6.34%
Year 1 PV (M)177.90179.60181.31
Year 2 PV (M)290.01295.59301.23
Year 3 PV (M)392.79404.19415.81
Year 4 PV (M)486.82505.75525.23
Year 5 PV (M)572.63600.60629.66
PV of Terminal Value (M)10,597.1511,114.8011,652.49
Equity Value (M)12,517.2913,100.5413,705.73
Shares Outstanding (M)1,143.381,143.381,143.38
Fair Value$10.95$11.46$11.99
Upside / Downside45.19%51.96%58.98%

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