Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

INES Corporation (9742.T)

Company Dividend Discount ModelIndustry: Information Technology ServicesSector: Technology

Valuation Snapshot

Stable Growth$548.78 - $833.68$682.57
Multi-Stage$1,093.31 - $1,198.92$1,145.10
Blended Fair Value$913.84
Current Price$2,016.00
Upside-54.67%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS7.85%4.47%49.9449.8439.9450.6145.6134.2225.6725.0921.0523.98
YoY Growth--0.19%24.79%-21.08%10.96%33.29%33.33%2.30%19.18%-12.22%-25.63%
Dividend Yield--3.00%2.73%2.66%3.12%3.30%2.51%2.18%2.36%1.87%2.38%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,298.00
(-) Cash Dividends Paid (M)1,142.00
(=) Cash Retained (M)156.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)259.60162.2597.35
Cash Retained (M)156.00156.00156.00
(-) Cash Required (M)-259.60-162.25-97.35
(=) Excess Retained (M)-103.60-6.2558.65
(/) Shares Outstanding (M)20.8120.8120.81
(=) Excess Retained per Share-4.98-0.302.82
LTM Dividend per Share54.8954.8954.89
(+) Excess Retained per Share-4.98-0.302.82
(=) Adjusted Dividend49.9154.5957.71
WACC / Discount Rate7.38%7.38%7.38%
Growth Rate-1.57%-0.57%0.43%
Fair Value$548.78$682.57$833.68
Upside / Downside-72.78%-66.14%-58.65%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,298.001,290.621,283.271,275.971,268.711,261.501,299.34
Payout Ratio87.98%88.39%88.79%89.19%89.60%90.00%92.50%
Projected Dividends (M)1,142.001,140.711,139.401,138.071,136.721,135.351,201.89

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.38%7.38%7.38%
Growth Rate-1.57%-0.57%0.43%
Year 1 PV (M)1,051.601,062.291,072.97
Year 2 PV (M)968.34988.121,008.09
Year 3 PV (M)891.65919.11947.12
Year 4 PV (M)821.02854.90889.81
Year 5 PV (M)755.97795.16835.96
PV of Terminal Value (M)18,259.1319,205.6820,191.08
Equity Value (M)22,747.7223,825.2424,945.02
Shares Outstanding (M)20.8120.8120.81
Fair Value$1,093.31$1,145.10$1,198.92
Upside / Downside-45.77%-43.20%-40.53%

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