Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Baoding Tianwei Baobian Electric Co., Ltd. (600550.SS)

Company Dividend Discount ModelIndustry: Industrial - MachinerySector: Industrials

Valuation Snapshot

Stable Growth$1.34 - $2.65$1.85
Multi-Stage$6.53 - $7.21$6.86
Blended Fair Value$4.36
Current Price$8.23
Upside-47.05%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-11.16%-13.78%0.040.050.040.050.070.080.110.130.150.16
YoY Growth---9.42%6.49%-4.34%-32.33%-11.37%-31.48%-10.27%-17.19%-2.45%-17.43%
Dividend Yield--0.49%1.13%0.87%0.76%1.54%1.41%2.20%1.92%2.16%2.45%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)157.86
(-) Cash Dividends Paid (M)55.10
(=) Cash Retained (M)102.76
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)31.5719.7311.84
Cash Retained (M)102.76102.76102.76
(-) Cash Required (M)-31.57-19.73-11.84
(=) Excess Retained (M)71.1983.0390.92
(/) Shares Outstanding (M)1,871.541,871.541,871.54
(=) Excess Retained per Share0.040.040.05
LTM Dividend per Share0.030.030.03
(+) Excess Retained per Share0.040.040.05
(=) Adjusted Dividend0.070.070.08
WACC / Discount Rate3.22%3.22%3.22%
Growth Rate-1.74%-0.74%0.26%
Fair Value$1.34$1.85$2.65
Upside / Downside-83.74%-77.48%-67.82%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)157.86156.69155.54154.39153.25152.12156.69
Payout Ratio34.90%45.92%56.94%67.96%78.98%90.00%92.50%
Projected Dividends (M)55.1071.9688.57104.93121.04136.91144.94

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate3.22%3.22%3.22%
Growth Rate-1.74%-0.74%0.26%
Year 1 PV (M)69.0269.7270.42
Year 2 PV (M)81.4783.1484.82
Year 3 PV (M)92.5795.4298.34
Year 4 PV (M)102.41106.65111.01
Year 5 PV (M)111.10116.87122.88
PV of Terminal Value (M)11,761.2712,372.0313,007.91
Equity Value (M)12,217.8312,843.8313,495.37
Shares Outstanding (M)1,871.541,871.541,871.54
Fair Value$6.53$6.86$7.21
Upside / Downside-20.68%-16.61%-12.38%

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