Definitive Analysis
Definitive Analysis

Financial Statements

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Sector

Tortoise Essential Energy Fund (TPZ)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$31.21 - $46.58$38.52
Multi-Stage$61.67 - $67.70$64.63
Blended Fair Value$51.57
Current Price$15.45
Upside233.81%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2023202220212020201920182017
DPS-5.69%0.00%1.291.260.701.211.721.721.720.000.000.00
YoY Growth--2.35%79.38%-41.93%-30.01%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--9.48%9.23%5.43%12.08%11.08%10.05%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)22.97
(-) Cash Dividends Paid (M)15.57
(=) Cash Retained (M)7.41
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)4.592.871.72
Cash Retained (M)7.417.417.41
(-) Cash Required (M)-4.59-2.87-1.72
(=) Excess Retained (M)2.814.535.68
(/) Shares Outstanding (M)6.056.056.05
(=) Excess Retained per Share0.470.750.94
LTM Dividend per Share2.582.582.58
(+) Excess Retained per Share0.470.750.94
(=) Adjusted Dividend3.043.333.52
WACC / Discount Rate7.55%7.55%7.55%
Growth Rate-2.00%-1.00%0.00%
Fair Value$31.21$38.52$46.58
Upside / Downside102.00%149.31%201.49%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)22.9722.7422.5222.2922.0721.8522.50
Payout Ratio67.76%72.21%76.66%81.10%85.55%90.00%92.50%
Projected Dividends (M)15.5716.4217.2618.0818.8819.6620.82

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.55%7.55%7.55%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)15.1215.2715.43
Year 2 PV (M)14.6214.9215.23
Year 3 PV (M)14.1014.5314.98
Year 4 PV (M)13.5514.1114.69
Year 5 PV (M)12.9913.6714.37
PV of Terminal Value (M)302.44318.18334.58
Equity Value (M)372.82390.69409.28
Shares Outstanding (M)6.056.056.05
Fair Value$61.67$64.63$67.70
Upside / Downside299.17%318.31%338.21%

High-Yield Dividend Screener

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