Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

China National Medicines Corporation Ltd. (600511.SS)

Company Dividend Discount ModelIndustry: Drug Manufacturers - Specialty & GenericSector: Healthcare

Valuation Snapshot

Stable Growth$449.94 - $530.11$496.79
Multi-Stage$123.62 - $135.49$129.44
Blended Fair Value$313.11
Current Price$28.60
Upside994.80%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS8.31%14.64%0.900.940.810.850.810.610.680.340.260.11
YoY Growth---3.83%15.95%-4.05%4.03%33.89%-11.28%99.09%32.95%131.58%-51.62%
Dividend Yield--3.03%2.84%2.18%2.88%2.40%2.15%2.51%1.12%0.77%0.41%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)2,011.12
(-) Cash Dividends Paid (M)661.16
(=) Cash Retained (M)1,349.96
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)402.22251.39150.83
Cash Retained (M)1,349.961,349.961,349.96
(-) Cash Required (M)-402.22-251.39-150.83
(=) Excess Retained (M)947.731,098.571,199.12
(/) Shares Outstanding (M)754.49754.49754.49
(=) Excess Retained per Share1.261.461.59
LTM Dividend per Share0.880.880.88
(+) Excess Retained per Share1.261.461.59
(=) Adjusted Dividend2.132.332.47
WACC / Discount Rate5.24%5.24%5.24%
Growth Rate5.50%6.50%7.50%
Fair Value$449.94$496.79$530.11
Upside / Downside1,473.22%1,637.02%1,753.52%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)2,011.122,141.842,281.062,429.332,587.242,755.412,838.07
Payout Ratio32.88%44.30%55.73%67.15%78.58%90.00%92.50%
Projected Dividends (M)661.16948.841,271.131,631.302,032.922,479.872,625.22

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate5.24%5.24%5.24%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)893.10901.57910.04
Year 2 PV (M)1,126.171,147.621,169.28
Year 3 PV (M)1,360.381,399.431,439.22
Year 4 PV (M)1,595.711,657.081,720.20
Year 5 PV (M)1,832.191,920.682,012.57
PV of Terminal Value (M)86,460.1490,636.2094,972.08
Equity Value (M)93,267.7097,662.58102,223.38
Shares Outstanding (M)754.49754.49754.49
Fair Value$123.62$129.44$135.49
Upside / Downside332.22%352.59%373.73%

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