Definitive Analysis
Definitive Analysis

Financial Statements

Analysis Mode

Ticker

Industry

Sector

United Overseas Bank Limited (U11.SI)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$380.21 - $1,372.03$1,209.72
Multi-Stage$177.22 - $193.71$185.31
Blended Fair Value$697.52
Current Price$36.00
Upside1,837.55%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS9.51%15.75%1.711.591.190.950.941.090.900.390.540.85
YoY Growth--8.02%33.38%25.08%0.74%-13.26%20.51%129.49%-27.12%-36.72%114.94%
Dividend Yield--4.72%5.57%3.87%3.53%4.18%4.12%3.68%1.48%2.65%4.35%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)11,659.00
(-) Cash Dividends Paid (M)6,816.00
(=) Cash Retained (M)4,843.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)2,331.801,457.38874.43
Cash Retained (M)4,843.004,843.004,843.00
(-) Cash Required (M)-2,331.80-1,457.38-874.43
(=) Excess Retained (M)2,511.203,385.633,968.58
(/) Shares Outstanding (M)1,689.961,689.961,689.96
(=) Excess Retained per Share1.492.002.35
LTM Dividend per Share4.034.034.03
(+) Excess Retained per Share1.492.002.35
(=) Adjusted Dividend5.526.046.38
WACC / Discount Rate7.03%7.03%7.03%
Growth Rate5.50%6.50%7.50%
Fair Value$380.21$1,209.72$1,372.03
Upside / Downside956.14%3,260.33%3,711.20%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)11,659.0012,416.8413,223.9314,083.4814,998.9115,973.8416,453.06
Payout Ratio58.46%64.77%71.08%77.38%83.69%90.00%92.50%
Projected Dividends (M)6,816.008,042.269,399.1410,898.4412,552.9314,376.4615,219.08

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.03%7.03%7.03%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)7,443.377,513.927,584.48
Year 2 PV (M)8,051.398,204.758,359.55
Year 3 PV (M)8,640.498,888.539,141.27
Year 4 PV (M)9,211.099,565.329,929.67
Year 5 PV (M)9,763.5810,235.1710,724.80
PV of Terminal Value (M)256,380.59268,763.87281,621.08
Equity Value (M)299,490.52313,171.56327,360.86
Shares Outstanding (M)1,689.961,689.961,689.96
Fair Value$177.22$185.31$193.71
Upside / Downside392.27%414.76%438.08%

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