Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

RENK Group AG (R3NK.BE)

Company Dividend Discount ModelIndustry: Aerospace & DefenseSector: Industrials

Valuation Snapshot

Stable Growth$8.57 - $12.89$10.61
Multi-Stage$17.05 - $18.75$17.88
Blended Fair Value$14.25
Current Price$87.61
Upside-83.74%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR20242023202220212020
DPS0.00%0.00%0.300.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.68%0.00%0.00%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)101.45
(-) Cash Dividends Paid (M)42.02
(=) Cash Retained (M)59.42
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)20.2912.687.61
Cash Retained (M)59.4259.4259.42
(-) Cash Required (M)-20.29-12.68-7.61
(=) Excess Retained (M)39.1346.7451.82
(/) Shares Outstanding (M)100.03100.03100.03
(=) Excess Retained per Share0.390.470.52
LTM Dividend per Share0.420.420.42
(+) Excess Retained per Share0.390.470.52
(=) Adjusted Dividend0.810.890.94
WACC / Discount Rate7.28%7.28%7.28%
Growth Rate-2.00%-1.00%0.00%
Fair Value$8.57$10.61$12.89
Upside / Downside-90.22%-87.89%-85.29%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)101.45100.4399.4398.4397.4596.4799.37
Payout Ratio41.42%51.14%60.85%70.57%80.28%90.00%92.50%
Projected Dividends (M)42.0251.3660.5169.4678.2486.8391.92

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.28%7.28%7.28%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)47.3947.8748.36
Year 2 PV (M)51.5252.5753.64
Year 3 PV (M)54.5756.2657.98
Year 4 PV (M)56.7259.0761.49
Year 5 PV (M)58.0861.1164.26
PV of Terminal Value (M)1,437.151,511.991,589.91
Equity Value (M)1,705.441,788.881,875.64
Shares Outstanding (M)100.03100.03100.03
Fair Value$17.05$17.88$18.75
Upside / Downside-80.54%-79.59%-78.60%

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