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IDEX Corporation (IEX)

Company Dividend Discount ModelIndustry: Industrial - MachinerySector: Industrials

Valuation Snapshot

Stable Growth$99.37 - $188.49$135.37
Multi-Stage$96.37 - $105.29$100.75
Blended Fair Value$118.06
Current Price$162.76
Upside-27.46%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS6.88%9.13%2.712.522.352.132.011.951.691.471.361.27
YoY Growth--7.66%7.50%10.12%6.13%3.13%15.47%14.67%8.30%6.74%12.19%
Dividend Yield--1.50%1.05%1.02%1.11%0.96%1.41%1.08%1.03%1.45%1.53%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)478.10
(-) Cash Dividends Paid (M)211.70
(=) Cash Retained (M)266.40
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)95.6259.7635.86
Cash Retained (M)266.40266.40266.40
(-) Cash Required (M)-95.62-59.76-35.86
(=) Excess Retained (M)170.78206.64230.54
(/) Shares Outstanding (M)75.6575.6575.65
(=) Excess Retained per Share2.262.733.05
LTM Dividend per Share2.802.802.80
(+) Excess Retained per Share2.262.733.05
(=) Adjusted Dividend5.065.535.85
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate3.82%4.82%5.82%
Fair Value$99.37$135.37$188.49
Upside / Downside-38.94%-16.83%15.81%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)478.10501.13525.26550.56577.07604.87623.01
Payout Ratio44.28%53.42%62.57%71.71%80.86%90.00%92.50%
Projected Dividends (M)211.70267.72328.64394.81466.60544.38576.29

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate3.82%4.82%5.82%
Year 1 PV (M)243.05245.39247.73
Year 2 PV (M)270.87276.12281.41
Year 3 PV (M)295.43304.05312.83
Year 4 PV (M)316.97329.36342.11
Year 5 PV (M)335.74352.22369.35
PV of Terminal Value (M)5,828.416,114.586,411.88
Equity Value (M)7,290.487,621.727,965.32
Shares Outstanding (M)75.6575.6575.65
Fair Value$96.37$100.75$105.29
Upside / Downside-40.79%-38.10%-35.31%

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