Definitive Analysis
Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

Etihad Etisalat Company (7020.SR)

Company Dividend Discount ModelIndustry: Telecommunications ServicesSector: Communication Services

Valuation Snapshot

Stable Growth$50.12 - $81.86$64.30
Multi-Stage$98.51 - $108.14$103.23
Blended Fair Value$83.77
Current Price$67.55
Upside24.01%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.00%-4.81%2.291.110.830.490.000.000.000.000.000.00
YoY Growth--106.87%33.12%69.60%0.00%0.00%0.00%0.00%0.00%0.00%-100.00%
Dividend Yield--3.84%2.11%2.02%1.18%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)3,492.77
(-) Cash Dividends Paid (M)2,549.34
(=) Cash Retained (M)943.43
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)698.55436.60261.96
Cash Retained (M)943.43943.43943.43
(-) Cash Required (M)-698.55-436.60-261.96
(=) Excess Retained (M)244.88506.83681.47
(/) Shares Outstanding (M)770.00770.00770.00
(=) Excess Retained per Share0.320.660.89
LTM Dividend per Share3.313.313.31
(+) Excess Retained per Share0.320.660.89
(=) Adjusted Dividend3.633.974.20
WACC / Discount Rate6.66%6.66%6.66%
Growth Rate-0.54%0.46%1.46%
Fair Value$50.12$64.30$81.86
Upside / Downside-25.80%-4.81%21.18%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)3,492.773,508.863,525.033,541.273,557.583,573.973,681.19
Payout Ratio72.99%76.39%79.79%83.20%86.60%90.00%92.50%
Projected Dividends (M)2,549.342,680.472,812.742,946.183,080.793,216.573,405.10

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.66%6.66%6.66%
Growth Rate-0.54%0.46%1.46%
Year 1 PV (M)2,488.042,513.062,538.07
Year 2 PV (M)2,423.402,472.382,521.84
Year 3 PV (M)2,356.152,427.932,501.16
Year 4 PV (M)2,286.932,380.302,476.50
Year 5 PV (M)2,216.312,329.992,448.29
PV of Terminal Value (M)64,078.0367,364.7470,784.95
Equity Value (M)75,848.8679,488.3983,270.81
Shares Outstanding (M)770.00770.00770.00
Fair Value$98.51$103.23$108.14
Upside / Downside45.83%52.82%60.09%

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