Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Pro Medicus Limited (PME.AX)

Company Dividend Discount ModelIndustry: Medical - Healthcare Information ServicesSector: Healthcare

Valuation Snapshot

Stable Growth$35.49 - $75.27$50.38
Multi-Stage$26.80 - $29.22$27.98
Blended Fair Value$39.18
Current Price$285.08
Upside-86.26%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS35.09%37.69%0.470.350.250.180.130.100.090.050.030.02
YoY Growth--34.36%40.01%38.96%38.68%24.11%10.90%91.13%67.48%21.45%26.28%
Dividend Yield--0.16%0.26%0.38%0.42%0.22%0.39%0.37%0.61%0.55%0.51%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)198.01
(-) Cash Dividends Paid (M)85.67
(=) Cash Retained (M)112.34
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)39.6024.7514.85
Cash Retained (M)112.34112.34112.34
(-) Cash Required (M)-39.60-24.75-14.85
(=) Excess Retained (M)72.7487.5997.49
(/) Shares Outstanding (M)104.66104.66104.66
(=) Excess Retained per Share0.700.840.93
LTM Dividend per Share0.820.820.82
(+) Excess Retained per Share0.700.840.93
(=) Adjusted Dividend1.511.661.75
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate5.50%6.50%7.50%
Fair Value$35.49$50.38$75.27
Upside / Downside-87.55%-82.33%-73.60%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)198.01210.88224.59239.19254.73271.29279.43
Payout Ratio43.26%52.61%61.96%71.31%80.65%90.00%92.50%
Projected Dividends (M)85.67110.95139.15170.55205.45244.16258.47

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate10.00%10.00%10.00%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)99.92100.86101.81
Year 2 PV (M)112.85115.00117.17
Year 3 PV (M)124.57128.14131.79
Year 4 PV (M)135.13140.33145.67
Year 5 PV (M)144.62151.61158.86
PV of Terminal Value (M)2,187.352,293.002,402.69
Equity Value (M)2,804.442,928.943,057.99
Shares Outstanding (M)104.66104.66104.66
Fair Value$26.80$27.98$29.22
Upside / Downside-90.60%-90.18%-89.75%

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