Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Wuhan Ligong Guangke Co., Ltd. (300557.SZ)

Company Dividend Discount ModelIndustry: Electrical Equipment & PartsSector: Industrials

Valuation Snapshot

Stable Growth$81.49 - $96.01$89.97
Multi-Stage$55.99 - $61.44$58.66
Blended Fair Value$74.32
Current Price$26.94
Upside175.86%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS21.15%2.32%0.150.150.110.010.020.060.140.230.000.18
YoY Growth--1.49%28.59%805.24%-26.98%-69.74%-60.00%-37.50%0.00%-100.00%52.37%
Dividend Yield--0.60%0.83%0.59%0.07%0.11%0.39%0.79%0.95%0.00%1.52%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)47.11
(-) Cash Dividends Paid (M)18.62
(=) Cash Retained (M)28.48
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)9.425.893.53
Cash Retained (M)28.4828.4828.48
(-) Cash Required (M)-9.42-5.89-3.53
(=) Excess Retained (M)19.0622.6024.95
(/) Shares Outstanding (M)97.5897.5897.58
(=) Excess Retained per Share0.200.230.26
LTM Dividend per Share0.190.190.19
(+) Excess Retained per Share0.200.230.26
(=) Adjusted Dividend0.390.420.45
WACC / Discount Rate2.13%2.13%2.13%
Growth Rate5.50%6.50%7.50%
Fair Value$81.49$89.97$96.01
Upside / Downside202.47%233.97%256.37%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)47.1150.1753.4356.9060.6064.5466.47
Payout Ratio39.53%49.63%59.72%69.81%79.91%90.00%92.50%
Projected Dividends (M)18.6224.9031.9139.7248.4258.0861.49

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate2.13%2.13%2.13%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)24.1524.3824.61
Year 2 PV (M)30.0230.5931.17
Year 3 PV (M)36.2537.2938.35
Year 4 PV (M)42.8744.5146.21
Year 5 PV (M)49.8852.2854.79
PV of Terminal Value (M)5,279.895,534.915,799.69
Equity Value (M)5,463.065,723.985,994.82
Shares Outstanding (M)97.5897.5897.58
Fair Value$55.99$58.66$61.44
Upside / Downside107.82%117.74%128.05%

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