Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Shenzhen Cotran New Material Co.,Ltd. (300731.SZ)

Company Dividend Discount ModelIndustry: Chemicals - SpecialtySector: Basic Materials

Valuation Snapshot

Stable Growth$41.32 - $53.20$49.85
Multi-Stage$9.19 - $10.06$9.61
Blended Fair Value$29.73
Current Price$44.26
Upside-32.82%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS8.18%1.72%0.130.170.060.150.120.090.250.160.200.13
YoY Growth---21.28%165.73%-58.44%25.41%35.87%-63.96%55.56%-20.00%56.25%14.29%
Dividend Yield--0.49%0.96%0.34%0.74%0.47%0.29%1.16%0.62%1.46%0.93%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)33.64
(-) Cash Dividends Paid (M)20.89
(=) Cash Retained (M)12.75
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)6.734.202.52
Cash Retained (M)12.7512.7512.75
(-) Cash Required (M)-6.73-4.20-2.52
(=) Excess Retained (M)6.028.5410.23
(/) Shares Outstanding (M)125.76125.76125.76
(=) Excess Retained per Share0.050.070.08
LTM Dividend per Share0.170.170.17
(+) Excess Retained per Share0.050.070.08
(=) Adjusted Dividend0.210.230.25
WACC / Discount Rate6.05%6.05%6.05%
Growth Rate5.50%6.50%7.50%
Fair Value$41.32$49.85$53.20
Upside / Downside-6.64%12.64%20.19%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)33.6435.8338.1640.6443.2846.0947.47
Payout Ratio62.10%67.68%73.26%78.84%84.42%90.00%92.50%
Projected Dividends (M)20.8924.2527.9532.0436.5341.4843.91

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.05%6.05%6.05%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)22.6522.8723.08
Year 2 PV (M)24.3924.8625.33
Year 3 PV (M)26.1126.8627.63
Year 4 PV (M)27.8228.8929.99
Year 5 PV (M)29.5030.9332.41
PV of Terminal Value (M)1,025.271,074.801,126.21
Equity Value (M)1,155.751,209.201,264.64
Shares Outstanding (M)125.76125.76125.76
Fair Value$9.19$9.61$10.06
Upside / Downside-79.24%-78.28%-77.28%

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