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LCI Industries (LCII)

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

Valuation Snapshot

Stable Growth$166.98 - $442.95$255.33
Multi-Stage$119.65 - $130.43$124.94
Blended Fair Value$190.14
Current Price$93.15
Upside104.12%
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 Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Fair Value$166.98$255.33$442.95
Upside / Downside79.26%174.11%375.52%

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 Rate9.10%9.10%9.10%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)120.53121.67122.81
Year 2 PV (M)125.10127.48129.89
Year 3 PV (M)129.24132.95136.73
Year 4 PV (M)132.97138.09143.35
Year 5 PV (M)136.32142.90149.74
PV of Terminal Value (M)2,366.452,480.752,599.42
Equity Value (M)3,010.603,143.833,281.93
Shares Outstanding (M)25.1625.1625.16
Fair Value$119.65$124.94$130.43
Upside / Downside28.45%34.13%40.02%

High-Yield Dividend Screener

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