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Definitive Analysis

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Atlas Corp. (ATCOL)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$163.50 - $626.94$468.29
Multi-Stage$77.32 - $84.60$80.89
Blended Fair Value$274.59
Current Price$25.19
Upside990.09%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS3.16%5.96%0.961.000.860.910.890.820.550.600.970.76
YoY Growth---3.69%15.99%-5.61%1.98%8.65%48.83%-8.35%-37.70%27.17%41.32%
Dividend Yield--3.81%4.09%3.64%3.50%3.54%3.26%2.19%2.39%3.83%3.01%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)660.30
(-) Cash Dividends Paid (M)201.20
(=) Cash Retained (M)459.10
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)132.0682.5449.52
Cash Retained (M)459.10459.10459.10
(-) Cash Required (M)-132.06-82.54-49.52
(=) Excess Retained (M)327.04376.56409.58
(/) Shares Outstanding (M)209.46209.46209.46
(=) Excess Retained per Share1.561.801.96
LTM Dividend per Share0.960.960.96
(+) Excess Retained per Share1.561.801.96
(=) Adjusted Dividend2.522.762.92
WACC / Discount Rate7.13%7.13%7.13%
Growth Rate5.50%6.50%7.50%
Fair Value$163.50$468.29$626.94
Upside / Downside549.07%1,759.05%2,388.84%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)660.30703.22748.93797.61849.45904.67931.81
Payout Ratio30.47%42.38%54.28%66.19%78.09%90.00%92.50%
Projected Dividends (M)201.20298.00406.54527.92663.37814.20861.92

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.13%7.13%7.13%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)275.56278.18280.79
Year 2 PV (M)347.62354.24360.93
Year 3 PV (M)417.43429.41441.62
Year 4 PV (M)485.03503.68522.87
Year 5 PV (M)550.48577.07604.68
PV of Terminal Value (M)14,119.3314,801.3015,509.37
Equity Value (M)16,195.4616,943.8817,720.25
Shares Outstanding (M)209.46209.46209.46
Fair Value$77.32$80.89$84.60
Upside / Downside206.95%221.14%235.85%

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