Definitive Analysis
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Definitive Analysis

Financial Statements

Mode

Ticker

Industry

Sector

Teac Corporation (6803.T)

Company Dividend Discount ModelIndustry: Computer HardwareSector: Technology

Valuation Snapshot

Stable Growth$61.89 - $93.21$76.69
Multi-Stage$120.47 - $132.70$126.47
Blended Fair Value$101.58
Current Price$90.00
Upside12.86%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS0.00%0.00%1.011.010.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--1.12%1.05%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)210.00
(-) Cash Dividends Paid (M)29.00
(=) Cash Retained (M)181.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)42.0026.2515.75
Cash Retained (M)181.00181.00181.00
(-) Cash Required (M)-42.00-26.25-15.75
(=) Excess Retained (M)139.00154.75165.25
(/) Shares Outstanding (M)28.8028.8028.80
(=) Excess Retained per Share4.835.375.74
LTM Dividend per Share1.011.011.01
(+) Excess Retained per Share4.835.375.74
(=) Adjusted Dividend5.836.386.74
WACC / Discount Rate7.24%7.24%7.24%
Growth Rate-2.00%-1.00%0.00%
Fair Value$61.89$76.69$93.21
Upside / Downside-31.23%-14.79%3.56%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)210.00207.90205.82203.76201.73199.71205.70
Payout Ratio13.81%29.05%44.29%59.52%74.76%90.00%92.50%
Projected Dividends (M)29.0060.3991.15121.29150.81179.74190.27

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.24%7.24%7.24%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)55.7556.3256.88
Year 2 PV (M)77.6779.2680.87
Year 3 PV (M)95.4198.36101.37
Year 4 PV (M)109.51114.05118.73
Year 5 PV (M)120.48126.75133.28
PV of Terminal Value (M)3,011.113,167.903,331.16
Equity Value (M)3,469.923,642.643,822.29
Shares Outstanding (M)28.8028.8028.80
Fair Value$120.47$126.47$132.70
Upside / Downside33.85%40.52%47.45%

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