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SpareBank 1 Nord-Norge (NONG.OL)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$1,650.19 - $5,953.75$5,252.27
Multi-Stage$777.29 - $849.17$812.58
Blended Fair Value$3,032.43
Current Price$140.60
Upside2,056.78%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS17.39%0.00%19.2515.8217.778.428.648.640.000.000.000.00
YoY Growth--21.73%-10.99%111.12%-2.54%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--13.54%16.25%20.17%7.84%10.58%16.58%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)3,005.63
(-) Cash Dividends Paid (M)2,182.00
(=) Cash Retained (M)823.63
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)601.13375.70225.42
Cash Retained (M)823.63823.63823.63
(-) Cash Required (M)-601.13-375.70-225.42
(=) Excess Retained (M)222.50447.93598.21
(/) Shares Outstanding (M)100.40100.40100.40
(=) Excess Retained per Share2.224.465.96
LTM Dividend per Share21.7321.7321.73
(+) Excess Retained per Share2.224.465.96
(=) Adjusted Dividend23.9526.2027.69
WACC / Discount Rate7.03%7.03%7.03%
Growth Rate5.50%6.50%7.50%
Fair Value$1,650.19$5,252.27$5,953.75
Upside / Downside1,073.68%3,635.61%4,134.53%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)3,005.633,201.003,409.063,630.653,866.644,117.974,241.51
Payout Ratio72.60%76.08%79.56%83.04%86.52%90.00%92.50%
Projected Dividends (M)2,182.002,435.242,712.193,014.853,345.403,706.183,923.40

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.03%7.03%7.03%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)2,253.902,275.272,296.63
Year 2 PV (M)2,323.302,367.552,412.22
Year 3 PV (M)2,390.252,458.872,528.78
Year 4 PV (M)2,454.812,549.222,646.32
Year 5 PV (M)2,517.042,638.612,764.84
PV of Terminal Value (M)66,099.2369,291.8572,606.66
Equity Value (M)78,038.5381,581.3685,255.45
Shares Outstanding (M)100.40100.40100.40
Fair Value$777.29$812.58$849.17
Upside / Downside452.84%477.94%503.96%

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