Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Suzhou Recodeal Interconnect System Co.,Ltd (688800.SS)

Company Dividend Discount ModelIndustry: Electrical Equipment & PartsSector: Industrials

Valuation Snapshot

Stable Growth$301.36 - $355.05$332.74
Multi-Stage$203.21 - $223.02$212.93
Blended Fair Value$272.83
Current Price$75.12
Upside263.20%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS22.70%59.60%0.180.380.210.010.110.070.020.080.010.00
YoY Growth---51.34%75.86%1,660.34%-88.73%63.79%273.34%-79.08%1,461.60%73.39%82.42%
Dividend Yield--0.48%1.58%0.46%0.02%0.21%0.13%0.03%0.16%0.01%0.01%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)302.30
(-) Cash Dividends Paid (M)81.64
(=) Cash Retained (M)220.66
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)60.4637.7922.67
Cash Retained (M)220.66220.66220.66
(-) Cash Required (M)-60.46-37.79-22.67
(=) Excess Retained (M)160.20182.88197.99
(/) Shares Outstanding (M)169.33169.33169.33
(=) Excess Retained per Share0.951.081.17
LTM Dividend per Share0.480.480.48
(+) Excess Retained per Share0.951.081.17
(=) Adjusted Dividend1.431.561.65
WACC / Discount Rate2.47%2.47%2.47%
Growth Rate5.50%6.50%7.50%
Fair Value$301.36$332.74$355.05
Upside / Downside301.17%342.94%372.65%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)302.30321.95342.88365.17388.90414.18426.61
Payout Ratio27.01%39.61%52.20%64.80%77.40%90.00%92.50%
Projected Dividends (M)81.64127.51179.00236.64301.02372.77394.61

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate2.47%2.47%2.47%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)123.27124.44125.61
Year 2 PV (M)167.30170.49173.70
Year 3 PV (M)213.83219.97226.22
Year 4 PV (M)262.96273.07283.48
Year 5 PV (M)314.82330.03345.81
PV of Terminal Value (M)33,327.2234,936.9336,608.26
Equity Value (M)34,409.4036,054.9337,763.08
Shares Outstanding (M)169.33169.33169.33
Fair Value$203.21$212.93$223.02
Upside / Downside170.52%183.45%196.88%

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