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WNC Corporation (6285.TW)

Company Dividend Discount ModelIndustry: Communication EquipmentSector: Technology

Valuation Snapshot

Stable Growth$399.63 - $1,266.07$1,186.49
Multi-Stage$173.83 - $189.93$181.73
Blended Fair Value$684.11
Current Price$116.50
Upside487.22%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS16.32%11.67%5.994.171.712.052.012.812.792.692.551.83
YoY Growth--43.76%143.11%-16.23%1.87%-28.60%0.69%3.87%5.34%39.73%-8.04%
Dividend Yield--4.29%2.68%1.68%2.90%2.74%5.46%3.46%3.65%3.19%2.33%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)3,092.44
(-) Cash Dividends Paid (M)2,323.95
(=) Cash Retained (M)768.50
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)618.49386.56231.93
Cash Retained (M)768.50768.50768.50
(-) Cash Required (M)-618.49-386.56-231.93
(=) Excess Retained (M)150.01381.94536.56
(/) Shares Outstanding (M)485.76485.76485.76
(=) Excess Retained per Share0.310.791.10
LTM Dividend per Share4.784.784.78
(+) Excess Retained per Share0.310.791.10
(=) Adjusted Dividend5.095.575.89
WACC / Discount Rate6.84%6.84%6.84%
Growth Rate5.50%6.50%7.50%
Fair Value$399.63$1,186.49$1,266.07
Upside / Downside243.03%918.45%986.76%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)3,092.443,293.453,507.523,735.513,978.324,236.914,364.02
Payout Ratio75.15%78.12%81.09%84.06%87.03%90.00%92.50%
Projected Dividends (M)2,323.952,572.822,844.233,140.063,462.333,813.224,036.72

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.84%6.84%6.84%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)2,385.402,408.012,430.62
Year 2 PV (M)2,444.932,491.502,538.51
Year 3 PV (M)2,502.592,574.432,647.64
Year 4 PV (M)2,558.412,656.802,758.00
Year 5 PV (M)2,612.442,738.622,869.63
PV of Terminal Value (M)71,935.5675,410.0879,017.57
Equity Value (M)84,439.3488,279.4492,261.97
Shares Outstanding (M)485.76485.76485.76
Fair Value$173.83$181.73$189.93
Upside / Downside49.21%55.99%63.03%

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