Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Shenzhen Sunway Communication Co., Ltd. (300136.SZ)

Company Dividend Discount ModelIndustry: Hardware, Equipment & PartsSector: Technology

Valuation Snapshot

Stable Growth$43.90 - $128.22$120.16
Multi-Stage$17.24 - $18.88$18.05
Blended Fair Value$69.10
Current Price$25.80
Upside167.83%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS10.74%43.87%0.160.100.100.140.110.090.130.080.050.03
YoY Growth--55.84%-3.62%-25.70%26.80%17.70%-30.10%71.29%64.74%72.95%568.56%
Dividend Yield--0.66%0.50%0.50%0.78%0.39%0.27%0.45%0.21%0.14%0.15%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)614.86
(-) Cash Dividends Paid (M)36.45
(=) Cash Retained (M)578.41
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)122.9776.8646.11
Cash Retained (M)578.41578.41578.41
(-) Cash Required (M)-122.97-76.86-46.11
(=) Excess Retained (M)455.43501.55532.29
(/) Shares Outstanding (M)953.70953.70953.70
(=) Excess Retained per Share0.480.530.56
LTM Dividend per Share0.040.040.04
(+) Excess Retained per Share0.480.530.56
(=) Adjusted Dividend0.520.560.60
WACC / Discount Rate6.74%6.74%6.74%
Growth Rate5.50%6.50%7.50%
Fair Value$43.90$120.16$128.22
Upside / Downside70.17%365.73%396.96%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)614.86654.82697.38742.71790.99842.41867.68
Payout Ratio5.93%22.74%39.56%56.37%73.19%90.00%92.50%
Projected Dividends (M)36.45148.92275.86418.68578.89758.16802.60

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.74%6.74%6.74%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)138.21139.52140.83
Year 2 PV (M)237.60242.13246.70
Year 3 PV (M)334.67344.27354.06
Year 4 PV (M)429.45445.96462.95
Year 5 PV (M)521.98547.19573.37
PV of Terminal Value (M)14,777.1515,490.8916,231.95
Equity Value (M)16,439.0617,209.9718,009.86
Shares Outstanding (M)953.70953.70953.70
Fair Value$17.24$18.05$18.88
Upside / Downside-33.19%-30.06%-26.81%

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