Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Shanghai Huayi Group Corporation Limited (600623.SS)

Company Dividend Discount ModelIndustry: ChemicalsSector: Basic Materials

Valuation Snapshot

Stable Growth$54.99 - $64.85$60.75
Multi-Stage$100.94 - $111.28$106.01
Blended Fair Value$83.38
Current Price$8.77
Upside850.70%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-6.55%-0.37%0.380.310.640.190.270.530.390.230.230.39
YoY Growth--23.36%-51.96%234.93%-29.90%-48.77%34.09%70.51%2.34%-41.26%-1.59%
Dividend Yield--5.17%4.85%9.21%2.24%3.93%9.89%3.92%2.35%1.98%1.54%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)702.57
(-) Cash Dividends Paid (M)422.57
(=) Cash Retained (M)280.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)140.5187.8252.69
Cash Retained (M)280.00280.00280.00
(-) Cash Required (M)-140.51-87.82-52.69
(=) Excess Retained (M)139.48192.18227.30
(/) Shares Outstanding (M)2,060.752,060.752,060.75
(=) Excess Retained per Share0.070.090.11
LTM Dividend per Share0.210.210.21
(+) Excess Retained per Share0.070.090.11
(=) Adjusted Dividend0.270.300.32
WACC / Discount Rate-19.19%-19.19%-19.19%
Growth Rate0.81%1.81%2.81%
Fair Value$54.99$60.75$64.85
Upside / Downside527.06%592.65%639.42%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)702.57715.32728.30741.52754.98768.68791.74
Payout Ratio60.15%66.12%72.09%78.06%84.03%90.00%92.50%
Projected Dividends (M)422.57472.95525.02578.82634.40691.81732.36

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate-19.19%-19.19%-19.19%
Growth Rate0.81%1.81%2.81%
Year 1 PV (M)579.49585.24590.98
Year 2 PV (M)788.19803.91819.78
Year 3 PV (M)1,064.711,096.711,129.35
Year 4 PV (M)1,429.831,487.411,546.71
Year 5 PV (M)1,910.452,007.102,107.62
PV of Terminal Value (M)202,242.59212,473.94223,115.25
Equity Value (M)208,015.27218,454.31229,309.69
Shares Outstanding (M)2,060.752,060.752,060.75
Fair Value$100.94$106.01$111.28
Upside / Downside1,050.99%1,108.75%1,168.81%

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