Definitive Analysis
Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

FirstCash Holdings, Inc (FCFS)

Company Dividend Discount ModelIndustry: Financial - Credit ServicesSector: Financial Services

Valuation Snapshot

Stable Growth$231.10 - $1,328.43$423.51
Multi-Stage$135.52 - $148.26$141.77
Blended Fair Value$282.64
Current Price$158.42
Upside78.41%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS8.39%0.00%1.461.381.321.061.000.980.910.820.440.00
YoY Growth--6.28%3.87%25.33%6.21%1.82%7.59%10.91%85.97%0.00%0.00%
Dividend Yield--1.22%1.10%1.39%1.50%1.52%1.36%1.04%1.01%0.90%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)309.75
(-) Cash Dividends Paid (M)50.81
(=) Cash Retained (M)258.94
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)61.9538.7223.23
Cash Retained (M)258.94258.94258.94
(-) Cash Required (M)-61.95-38.72-23.23
(=) Excess Retained (M)196.99220.22235.71
(/) Shares Outstanding (M)44.9744.9744.97
(=) Excess Retained per Share4.384.905.24
LTM Dividend per Share1.131.131.13
(+) Excess Retained per Share4.384.905.24
(=) Adjusted Dividend5.516.036.37
WACC / Discount Rate8.02%8.02%8.02%
Growth Rate5.50%6.50%7.50%
Fair Value$231.10$423.51$1,328.43
Upside / Downside45.88%167.34%738.55%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)309.75329.88351.33374.16398.48424.38437.12
Payout Ratio16.40%31.12%45.84%60.56%75.28%90.00%92.50%
Projected Dividends (M)50.81102.67161.05226.60299.98381.95404.33

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.02%8.02%8.02%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)94.1695.0595.94
Year 2 PV (M)135.46138.04140.64
Year 3 PV (M)174.78179.80184.91
Year 4 PV (M)212.21220.37228.76
Year 5 PV (M)247.79259.76272.18
PV of Terminal Value (M)5,229.975,482.585,744.85
Equity Value (M)6,094.366,375.596,667.30
Shares Outstanding (M)44.9744.9744.97
Fair Value$135.52$141.77$148.26
Upside / Downside-14.45%-10.51%-6.41%

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