Definitive Analysis
Definitive Analysis

Financial Statements

Analysis Mode

Ticker / Industry / Sector

Trinity Capital Inc. (TRIN)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$17.19 - $25.46$21.14
Multi-Stage$31.20 - $34.33$32.73
Blended Fair Value$26.94
Current Price$14.07
Upside91.45%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS0.00%0.00%1.561.200.000.380.160.000.000.000.000.00
YoY Growth--30.11%0.00%-100.00%140.82%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--10.27%8.26%0.00%1.96%1.05%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)142.00
(-) Cash Dividends Paid (M)29.11
(=) Cash Retained (M)112.89
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)28.4017.7510.65
Cash Retained (M)112.89112.89112.89
(-) Cash Required (M)-28.40-17.75-10.65
(=) Excess Retained (M)84.4995.14102.24
(/) Shares Outstanding (M)65.8465.8465.84
(=) Excess Retained per Share1.281.451.55
LTM Dividend per Share0.440.440.44
(+) Excess Retained per Share1.281.451.55
(=) Adjusted Dividend1.731.891.99
WACC / Discount Rate7.84%7.84%7.84%
Growth Rate-2.00%-1.00%0.00%
Fair Value$17.19$21.14$25.46
Upside / Downside22.17%50.26%80.92%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)142.00140.58139.18137.79136.41135.04139.10
Payout Ratio20.50%34.40%48.30%62.20%76.10%90.00%92.50%
Projected Dividends (M)29.1148.3667.2285.70103.81121.54128.66

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.84%7.84%7.84%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)44.3944.8545.30
Year 2 PV (M)56.6457.8158.98
Year 3 PV (M)66.2968.3470.43
Year 4 PV (M)73.7176.7679.91
Year 5 PV (M)79.2283.3487.64
PV of Terminal Value (M)1,733.721,824.001,918.00
Equity Value (M)2,053.972,155.102,260.26
Shares Outstanding (M)65.8465.8465.84
Fair Value$31.20$32.73$34.33
Upside / Downside121.72%132.63%143.99%

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