Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Shenzhen Kinwong Electronic Co., Ltd. (603228.SS)

Company Dividend Discount ModelIndustry: Hardware, Equipment & PartsSector: Technology

Valuation Snapshot

Stable Growth$221.57 - $261.04$244.64
Multi-Stage$174.07 - $190.99$182.37
Blended Fair Value$213.50
Current Price$62.97
Upside239.06%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS6.70%12.98%0.480.510.300.280.200.350.220.270.130.03
YoY Growth---5.28%70.83%7.26%37.04%-41.85%58.26%-18.08%107.82%274.27%-75.70%
Dividend Yield--1.41%2.48%1.17%1.18%0.77%1.12%0.66%1.00%0.54%0.20%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,212.72
(-) Cash Dividends Paid (M)756.40
(=) Cash Retained (M)456.32
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)242.54151.5990.95
Cash Retained (M)456.32456.32456.32
(-) Cash Required (M)-242.54-151.59-90.95
(=) Excess Retained (M)213.77304.73365.37
(/) Shares Outstanding (M)923.91923.91923.91
(=) Excess Retained per Share0.230.330.40
LTM Dividend per Share0.820.820.82
(+) Excess Retained per Share0.230.330.40
(=) Adjusted Dividend1.051.151.21
WACC / Discount Rate-0.53%-0.53%-0.53%
Growth Rate5.50%6.50%7.50%
Fair Value$221.57$244.64$261.04
Upside / Downside251.86%288.50%314.55%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,212.721,291.551,375.501,464.911,560.131,661.541,711.38
Payout Ratio62.37%67.90%73.42%78.95%84.47%90.00%92.50%
Projected Dividends (M)756.40876.941,009.941,156.531,317.911,495.381,583.03

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate-0.53%-0.53%-0.53%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)873.30881.58889.85
Year 2 PV (M)1,001.581,020.661,039.92
Year 3 PV (M)1,142.201,174.991,208.40
Year 4 PV (M)1,296.181,346.031,397.30
Year 5 PV (M)1,464.631,535.371,608.82
PV of Terminal Value (M)155,047.46162,536.31170,311.78
Equity Value (M)160,825.36168,494.94176,456.07
Shares Outstanding (M)923.91923.91923.91
Fair Value$174.07$182.37$190.99
Upside / Downside176.44%189.62%203.30%

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