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Belden Inc. (BDC)

Company Dividend Discount ModelIndustry: Communication EquipmentSector: Technology

Valuation Snapshot

Stable Growth$42.42 - $61.88$51.82
Multi-Stage$63.96 - $70.35$67.09
Blended Fair Value$59.46
Current Price$120.60
Upside-50.70%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-24.96%-0.60%0.200.210.220.220.220.851.061.070.400.21
YoY Growth---3.57%-5.04%-1.18%0.30%-73.78%-20.22%-0.48%169.77%91.53%-3.49%
Dividend Yield--0.20%0.23%0.25%0.41%0.48%2.32%1.95%1.62%0.59%0.34%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)228.02
(-) Cash Dividends Paid (M)8.04
(=) Cash Retained (M)219.98
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)45.6028.5017.10
Cash Retained (M)219.98219.98219.98
(-) Cash Required (M)-45.60-28.50-17.10
(=) Excess Retained (M)174.37191.47202.87
(/) Shares Outstanding (M)40.5740.5740.57
(=) Excess Retained per Share4.304.725.00
LTM Dividend per Share0.200.200.20
(+) Excess Retained per Share4.304.725.00
(=) Adjusted Dividend4.504.925.20
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-1.36%-0.36%0.64%
Fair Value$42.42$51.82$61.88
Upside / Downside-64.83%-57.03%-48.69%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)228.02227.20226.39225.58224.78223.97230.69
Payout Ratio3.53%20.82%38.12%55.41%72.71%90.00%92.50%
Projected Dividends (M)8.0447.3186.29125.00163.42201.58213.39

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-1.36%-0.36%0.64%
Year 1 PV (M)42.9343.3643.80
Year 2 PV (M)71.0572.5073.96
Year 3 PV (M)93.3996.2699.19
Year 4 PV (M)110.80115.36120.06
Year 5 PV (M)124.01130.42137.10
PV of Terminal Value (M)2,152.782,264.132,380.05
Equity Value (M)2,594.952,722.032,854.15
Shares Outstanding (M)40.5740.5740.57
Fair Value$63.96$67.09$70.35
Upside / Downside-46.96%-44.37%-41.67%

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