Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Galaxy Entertainment Group Limited (0027.HK)

Company Dividend Discount ModelIndustry: Gambling, Resorts & CasinosSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$24.44 - $34.25$29.33
Multi-Stage$55.63 - $61.40$58.46
Blended Fair Value$43.89
Current Price$34.85
Upside25.95%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-2.36%-3.28%0.800.200.300.000.450.900.900.580.320.41
YoY Growth--300.12%-33.17%0.00%-100.00%-50.49%0.26%55.60%79.34%-21.22%-63.36%
Dividend Yield--2.42%0.46%0.58%0.00%0.74%1.57%1.80%0.96%0.95%1.67%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)17,937.28
(-) Cash Dividends Paid (M)4,371.51
(=) Cash Retained (M)13,565.78
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3,587.462,242.161,345.30
Cash Retained (M)13,565.7813,565.7813,565.78
(-) Cash Required (M)-3,587.46-2,242.16-1,345.30
(=) Excess Retained (M)9,978.3211,323.6112,220.48
(/) Shares Outstanding (M)4,376.524,376.524,376.52
(=) Excess Retained per Share2.282.592.79
LTM Dividend per Share1.001.001.00
(+) Excess Retained per Share2.282.592.79
(=) Adjusted Dividend3.283.593.79
WACC / Discount Rate7.43%7.43%7.43%
Growth Rate-5.28%-4.28%-3.28%
Fair Value$24.44$29.33$34.25
Upside / Downside-29.86%-15.85%-1.71%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)17,937.2817,169.9916,435.5215,732.4715,059.5014,415.3114,847.77
Payout Ratio24.37%37.50%50.62%63.75%76.87%90.00%92.50%
Projected Dividends (M)4,371.516,438.218,320.0910,029.2011,576.8712,973.7813,734.18

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.43%7.43%7.43%
Growth Rate-5.28%-4.28%-3.28%
Year 1 PV (M)5,930.465,993.066,055.67
Year 2 PV (M)7,059.517,209.367,360.77
Year 3 PV (M)7,838.568,089.458,345.63
Year 4 PV (M)8,334.588,692.169,061.11
Year 5 PV (M)8,603.649,067.499,551.12
PV of Terminal Value (M)205,707.43216,797.57228,360.95
Equity Value (M)243,474.18255,849.08268,735.26
Shares Outstanding (M)4,376.524,376.524,376.52
Fair Value$55.63$58.46$61.40
Upside / Downside59.63%67.75%76.19%

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