Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Morgan Advanced Materials plc (MGAM.L)

Company Dividend Discount ModelIndustry: Industrial - MachinerySector: Industrials

Valuation Snapshot

Stable Growth$7.80 - $21.60$12.09
Multi-Stage$28.70 - $31.65$30.14
Blended Fair Value$21.12
Current Price$2.20
Upside859.82%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS1.97%1.34%0.120.120.110.070.020.110.110.110.110.11
YoY Growth--0.88%8.23%65.45%235.09%-81.79%-0.32%0.00%0.00%0.00%3.97%
Dividend Yield--4.44%4.27%3.51%1.86%0.64%3.45%4.18%3.25%3.85%4.45%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)97.80
(-) Cash Dividends Paid (M)68.70
(=) Cash Retained (M)29.10
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)19.5612.237.34
Cash Retained (M)29.1029.1029.10
(-) Cash Required (M)-19.56-12.23-7.34
(=) Excess Retained (M)9.5416.8821.77
(/) Shares Outstanding (M)285.89285.89285.89
(=) Excess Retained per Share0.030.060.08
LTM Dividend per Share0.240.240.24
(+) Excess Retained per Share0.030.060.08
(=) Adjusted Dividend0.270.300.32
WACC / Discount Rate2.82%2.82%2.82%
Growth Rate-0.66%0.34%1.34%
Fair Value$7.80$12.09$21.60
Upside / Downside254.65%449.50%881.93%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)97.8098.1398.4798.8099.1499.47102.46
Payout Ratio70.25%74.20%78.15%82.10%86.05%90.00%92.50%
Projected Dividends (M)68.7072.8176.9581.1185.3189.5394.77

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate2.82%2.82%2.82%
Growth Rate-0.66%0.34%1.34%
Year 1 PV (M)70.1170.8171.52
Year 2 PV (M)71.3472.7874.24
Year 3 PV (M)72.4074.6176.86
Year 4 PV (M)73.3276.3179.40
Year 5 PV (M)74.0877.8981.85
PV of Terminal Value (M)7,842.568,245.328,664.46
Equity Value (M)8,203.808,617.729,048.32
Shares Outstanding (M)285.89285.89285.89
Fair Value$28.70$30.14$31.65
Upside / Downside1,204.32%1,270.13%1,338.60%

High-Yield Dividend Screener

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