Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Acosta Verde, S.A.B. de C.V. (GAVA.MX)

Company Dividend Discount ModelIndustry: Real Estate - ServicesSector: Real Estate

Valuation Snapshot

Stable Growth$206.97 - $321.57$259.96
Multi-Stage$469.91 - $518.08$493.52
Blended Fair Value$376.74
Current Price$179.00
Upside110.47%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS0.00%0.00%6.501.630.000.000.000.000.000.000.000.00
YoY Growth--300.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--3.63%0.91%0.00%0.00%0.00%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)1,687.48
(-) Cash Dividends Paid (M)250.00
(=) Cash Retained (M)1,437.48
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)337.50210.94126.56
Cash Retained (M)1,437.481,437.481,437.48
(-) Cash Required (M)-337.50-210.94-126.56
(=) Excess Retained (M)1,099.981,226.551,310.92
(/) Shares Outstanding (M)76.9076.9076.90
(=) Excess Retained per Share14.3015.9517.05
LTM Dividend per Share3.253.253.25
(+) Excess Retained per Share14.3015.9517.05
(=) Adjusted Dividend17.5519.2020.30
WACC / Discount Rate6.31%6.31%6.31%
Growth Rate-2.00%-1.00%0.00%
Fair Value$206.97$259.96$321.57
Upside / Downside15.63%45.23%79.65%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,687.481,670.611,653.901,637.361,620.991,604.781,652.92
Payout Ratio14.81%29.85%44.89%59.93%74.96%90.00%92.50%
Projected Dividends (M)250.00498.71742.42981.201,215.141,444.301,528.95

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.31%6.31%6.31%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)464.36469.10473.84
Year 2 PV (M)643.68656.88670.22
Year 3 PV (M)792.12816.61841.61
Year 4 PV (M)913.41951.26990.29
Year 5 PV (M)1,010.891,063.531,118.34
PV of Terminal Value (M)32,313.4833,996.1135,748.13
Equity Value (M)36,137.9337,953.5039,842.42
Shares Outstanding (M)76.9076.9076.90
Fair Value$469.91$493.52$518.08
Upside / Downside162.52%175.71%189.43%

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