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EZTEC Empreendimentos e Participações S.A. (EZTC3.SA)

Company Dividend Discount ModelIndustry: Real Estate - DevelopmentSector: Real Estate

Valuation Snapshot

Stable Growth$308.20 - $491.14$460.27
Multi-Stage$80.95 - $88.59$84.70
Blended Fair Value$272.49
Current Price$16.44
Upside1,557.46%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS59.04%5.41%1.070.200.780.440.300.110.392.820.710.74
YoY Growth--427.34%-73.98%78.50%44.16%188.17%-72.82%-86.27%299.34%-4.43%16.87%
Dividend Yield--7.03%1.33%7.00%2.60%1.10%0.41%2.03%18.51%6.37%8.88%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)544.11
(-) Cash Dividends Paid (M)300.37
(=) Cash Retained (M)243.73
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)108.8268.0140.81
Cash Retained (M)243.73243.73243.73
(-) Cash Required (M)-108.82-68.01-40.81
(=) Excess Retained (M)134.91175.72202.93
(/) Shares Outstanding (M)220.32220.32220.32
(=) Excess Retained per Share0.610.800.92
LTM Dividend per Share1.361.361.36
(+) Excess Retained per Share0.610.800.92
(=) Adjusted Dividend1.982.162.28
WACC / Discount Rate6.18%6.18%6.18%
Growth Rate5.50%6.50%7.50%
Fair Value$308.20$460.27$491.14
Upside / Downside1,774.69%2,699.72%2,887.49%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)544.11579.47617.14657.25699.98745.47767.84
Payout Ratio55.20%62.16%69.12%76.08%83.04%90.00%92.50%
Projected Dividends (M)300.37360.22426.58500.05581.27670.93710.25

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.18%6.18%6.18%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)336.08339.27342.45
Year 2 PV (M)371.33378.40385.54
Year 3 PV (M)406.11417.76429.64
Year 4 PV (M)440.43457.37474.79
Year 5 PV (M)474.30497.21520.99
PV of Terminal Value (M)15,807.6016,571.1117,363.85
Equity Value (M)17,835.8418,661.1219,517.26
Shares Outstanding (M)220.32220.32220.32
Fair Value$80.95$84.70$88.59
Upside / Downside392.42%415.20%438.84%

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