Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

ECIT As (ECIT.OL)

Company Dividend Discount ModelIndustry: Information Technology ServicesSector: Technology

Valuation Snapshot

Stable Growth$1.73 - $2.58$2.14
Multi-Stage$3.30 - $3.63$3.47
Blended Fair Value$2.80
Current Price$7.50
Upside-62.65%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202320222021202020192018
DPS-8.78%0.00%0.040.200.310.010.080.060.000.000.000.00
YoY Growth---80.43%-36.11%2,153.52%-82.89%31.04%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.56%2.73%4.41%0.17%1.00%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)99.00
(-) Cash Dividends Paid (M)41.00
(=) Cash Retained (M)58.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)19.8012.387.43
Cash Retained (M)58.0058.0058.00
(-) Cash Required (M)-19.80-12.38-7.43
(=) Excess Retained (M)38.2045.6350.58
(/) Shares Outstanding (M)466.13466.13466.13
(=) Excess Retained per Share0.080.100.11
LTM Dividend per Share0.090.090.09
(+) Excess Retained per Share0.080.100.11
(=) Adjusted Dividend0.170.190.20
WACC / Discount Rate7.61%7.61%7.61%
Growth Rate-2.00%-1.00%0.00%
Fair Value$1.73$2.14$2.58
Upside / Downside-76.90%-71.52%-65.59%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)99.0098.0197.0396.0695.1094.1596.97
Payout Ratio41.41%51.13%60.85%70.57%80.28%90.00%92.50%
Projected Dividends (M)41.0050.1159.0467.7976.3584.7389.70

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.61%7.61%7.61%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)46.1046.5747.04
Year 2 PV (M)49.9650.9852.02
Year 3 PV (M)52.7654.3956.06
Year 4 PV (M)54.6756.9359.27
Year 5 PV (M)55.8158.7261.74
PV of Terminal Value (M)1,281.081,347.791,417.25
Equity Value (M)1,540.381,615.391,693.38
Shares Outstanding (M)466.13466.13466.13
Fair Value$3.30$3.47$3.63
Upside / Downside-55.94%-53.79%-51.56%

High-Yield Dividend Screener

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