Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Elecom Co., Ltd. (6750.T)

Company Dividend Discount ModelIndustry: Computer HardwareSector: Technology

Valuation Snapshot

Stable Growth$2,295.59 - $4,882.83$3,262.51
Multi-Stage$2,786.22 - $3,054.86$2,918.01
Blended Fair Value$3,090.26
Current Price$1,810.00
Upside70.73%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS7.85%13.33%47.2645.8742.6043.8937.2232.3929.5524.1323.1117.81
YoY Growth--3.04%7.67%-2.94%17.91%14.92%9.63%22.43%4.43%29.78%31.64%
Dividend Yield--2.61%2.82%2.93%2.88%1.79%1.23%1.59%1.86%2.03%1.67%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)9,641.00
(-) Cash Dividends Paid (M)3,664.00
(=) Cash Retained (M)5,977.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)1,928.201,205.13723.08
Cash Retained (M)5,977.005,977.005,977.00
(-) Cash Required (M)-1,928.20-1,205.13-723.08
(=) Excess Retained (M)4,048.804,771.885,253.93
(/) Shares Outstanding (M)76.7876.7876.78
(=) Excess Retained per Share52.7362.1568.43
LTM Dividend per Share47.7247.7247.72
(+) Excess Retained per Share52.7362.1568.43
(=) Adjusted Dividend100.45109.87116.15
WACC / Discount Rate7.01%7.01%7.01%
Growth Rate2.52%3.52%4.52%
Fair Value$2,295.59$3,262.51$4,882.83
Upside / Downside26.83%80.25%169.77%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)9,641.009,980.7010,332.3810,696.4411,073.3311,463.5111,807.41
Payout Ratio38.00%48.40%58.80%69.20%79.60%90.00%92.50%
Projected Dividends (M)3,664.004,831.016,075.717,402.128,814.4710,317.1610,921.86

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.01%7.01%7.01%
Growth Rate2.52%3.52%4.52%
Year 1 PV (M)4,470.944,514.554,558.16
Year 2 PV (M)5,203.785,305.785,408.78
Year 3 PV (M)5,867.316,040.676,217.42
Year 4 PV (M)6,466.066,722.056,985.57
Year 5 PV (M)7,004.297,352.617,714.66
PV of Terminal Value (M)184,916.46194,112.36203,670.51
Equity Value (M)213,928.83224,048.02234,555.10
Shares Outstanding (M)76.7876.7876.78
Fair Value$2,786.22$2,918.01$3,054.86
Upside / Downside53.93%61.22%68.78%

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