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Uniti Group Inc. (UNIT)

Company Dividend Discount ModelIndustry: REIT - SpecialtySector: Real Estate

Valuation Snapshot

Stable Growth$74.61 - $112.74$92.58
Multi-Stage$102.62 - $112.78$107.60
Blended Fair Value$100.09
Current Price$7.18
Upside1,294.05%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-4.80%0.00%0.580.570.760.750.720.742.272.131.961.25
YoY Growth--0.98%-24.87%1.12%4.20%-2.20%-67.44%6.47%8.80%56.34%0.00%
Dividend Yield--6.90%5.82%12.90%3.29%3.94%7.37%11.75%7.89%4.56%3.39%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,596.56
(-) Cash Dividends Paid (M)0.02
(=) Cash Retained (M)1,596.54
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)319.31199.57119.74
Cash Retained (M)1,596.541,596.541,596.54
(-) Cash Required (M)-319.31-199.57-119.74
(=) Excess Retained (M)1,277.231,396.971,476.80
(/) Shares Outstanding (M)187.86187.86187.86
(=) Excess Retained per Share6.807.447.86
LTM Dividend per Share0.000.000.00
(+) Excess Retained per Share6.807.447.86
(=) Adjusted Dividend6.807.447.86
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-0.01%0.99%1.99%
Fair Value$74.61$92.58$112.74
Upside / Downside939.14%1,189.45%1,470.22%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,596.561,612.311,628.221,644.291,660.511,676.901,727.20
Payout Ratio0.00%18.00%36.00%54.00%72.00%90.00%92.50%
Projected Dividends (M)0.02290.23586.17887.921,195.571,509.211,597.66

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.10%9.10%9.10%
Growth Rate-0.01%0.99%1.99%
Year 1 PV (M)263.40266.03268.66
Year 2 PV (M)482.78492.48502.29
Year 3 PV (M)663.68683.79704.31
Year 4 PV (M)811.00843.94877.86
Year 5 PV (M)929.08976.481,025.80
PV of Terminal Value (M)16,128.8816,951.7317,807.82
Equity Value (M)19,278.8220,214.4621,186.74
Shares Outstanding (M)187.86187.86187.86
Fair Value$102.62$107.60$112.78
Upside / Downside1,329.28%1,398.65%1,470.73%

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