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LCI Industries (LCII)

Company Dividend Discount ModelIndustry: Auto - Recreational VehiclesSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$167.82 - $448.00$257.11
Multi-Stage$120.02 - $130.84$125.33
Blended Fair Value$191.22
Current Price$93.15
Upside105.28%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS11.40%8.89%4.354.234.083.462.802.542.362.031.371.92
YoY Growth--2.95%3.51%17.84%23.82%10.32%7.66%16.09%48.26%-28.59%3.26%
Dividend Yield--4.98%3.52%3.72%3.34%2.12%3.79%3.03%1.95%1.37%2.97%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)179.11
(-) Cash Dividends Paid (M)115.50
(=) Cash Retained (M)63.62
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)35.8222.3913.43
Cash Retained (M)63.6263.6263.62
(-) Cash Required (M)-35.82-22.39-13.43
(=) Excess Retained (M)27.8041.2350.18
(/) Shares Outstanding (M)25.1625.1625.16
(=) Excess Retained per Share1.101.641.99
LTM Dividend per Share4.594.594.59
(+) Excess Retained per Share1.101.641.99
(=) Adjusted Dividend5.696.236.58
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Fair Value$167.82$257.11$448.00
Upside / Downside80.16%176.02%380.94%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)179.11190.76203.15216.36230.42245.40252.76
Payout Ratio64.48%69.59%74.69%79.79%84.90%90.00%92.50%
Projected Dividends (M)115.50132.74151.73172.64195.62220.86233.81

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)120.55121.69122.83
Year 2 PV (M)125.14127.52129.93
Year 3 PV (M)129.30133.02136.80
Year 4 PV (M)133.06138.18143.44
Year 5 PV (M)136.43143.02149.86
PV of Terminal Value (M)2,375.412,490.152,609.27
Equity Value (M)3,019.893,153.573,292.13
Shares Outstanding (M)25.1625.1625.16
Fair Value$120.02$125.33$130.84
Upside / Downside28.84%34.55%40.46%

High-Yield Dividend Screener

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