Definitive Analysis
Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

HD Renewable Energy Co., Ltd. (6873.TW)

Company Dividend Discount ModelIndustry: Renewable UtilitiesSector: Utilities

Valuation Snapshot

Stable Growth$485.57 - $1,134.40$1,063.10
Multi-Stage$172.23 - $188.25$180.09
Blended Fair Value$621.59
Current Price$126.00
Upside393.33%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018
DPS76.64%0.00%2.842.781.180.700.000.170.130.000.000.00
YoY Growth--2.00%135.29%70.00%0.00%-100.00%26.75%0.00%0.00%0.00%0.00%
Dividend Yield--1.58%1.99%1.00%1.00%0.00%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)819.40
(-) Cash Dividends Paid (M)644.23
(=) Cash Retained (M)175.17
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)163.88102.4261.45
Cash Retained (M)175.17175.17175.17
(-) Cash Required (M)-163.88-102.42-61.45
(=) Excess Retained (M)11.2972.74113.71
(/) Shares Outstanding (M)143.65143.65143.65
(=) Excess Retained per Share0.080.510.79
LTM Dividend per Share4.484.484.48
(+) Excess Retained per Share0.080.510.79
(=) Adjusted Dividend4.564.995.28
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate5.50%6.50%7.50%
Fair Value$485.57$1,063.10$1,134.40
Upside / Downside285.37%743.73%800.31%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)819.40872.66929.38989.791,054.131,122.641,156.32
Payout Ratio78.62%80.90%83.17%85.45%87.72%90.00%92.50%
Projected Dividends (M)644.23705.96773.00845.76924.731,010.381,069.60

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)656.70662.93669.15
Year 2 PV (M)668.89681.63694.49
Year 3 PV (M)680.79700.33720.25
Year 4 PV (M)692.41719.04746.43
Year 5 PV (M)703.76737.75773.04
PV of Terminal Value (M)21,338.0122,368.6523,438.73
Equity Value (M)24,740.5725,870.3327,042.09
Shares Outstanding (M)143.65143.65143.65
Fair Value$172.23$180.09$188.25
Upside / Downside36.69%42.93%49.40%

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