Definitive Analysis
Definitive Analysis

Financial Statements

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Ticker

Industry

Sector

ACCO Brands Corporation (ACCO)

Company Dividend Discount ModelIndustry: Business Equipment & SuppliesSector: Industrials

Valuation Snapshot

Stable Growth$2.99 - $4.29$3.63
Multi-Stage$5.13 - $5.62$5.37
Blended Fair Value$4.50
Current Price$3.99
Upside12.74%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS3.08%0.00%0.300.300.300.270.260.260.270.000.000.00
YoY Growth---0.35%-0.35%10.85%4.88%0.82%-2.79%0.00%0.00%0.00%0.00%
Dividend Yield--7.20%5.57%5.71%3.42%3.09%5.13%3.06%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)40.60
(-) Cash Dividends Paid (M)27.20
(=) Cash Retained (M)13.40
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)8.125.083.05
Cash Retained (M)13.4013.4013.40
(-) Cash Required (M)-8.12-5.08-3.05
(=) Excess Retained (M)5.288.3310.36
(/) Shares Outstanding (M)94.2094.2094.20
(=) Excess Retained per Share0.060.090.11
LTM Dividend per Share0.290.290.29
(+) Excess Retained per Share0.060.090.11
(=) Adjusted Dividend0.340.380.40
WACC / Discount Rate9.14%9.14%9.14%
Growth Rate-2.14%-1.14%-0.14%
Fair Value$2.99$3.63$4.29
Upside / Downside-25.02%-9.09%7.53%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)40.6040.1439.6839.2338.7838.3439.49
Payout Ratio67.00%71.60%76.20%80.80%85.40%90.00%92.50%
Projected Dividends (M)27.2028.7430.2431.7033.1234.5136.53

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.14%9.14%9.14%
Growth Rate-2.14%-1.14%-0.14%
Year 1 PV (M)26.0626.3326.60
Year 2 PV (M)24.8725.3825.90
Year 3 PV (M)23.6524.3825.13
Year 4 PV (M)22.4123.3424.30
Year 5 PV (M)21.1822.2823.43
PV of Terminal Value (M)365.03384.06403.88
Equity Value (M)483.20505.78529.24
Shares Outstanding (M)94.2094.2094.20
Fair Value$5.13$5.37$5.62
Upside / Downside28.56%34.57%40.81%

High-Yield Dividend Screener

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