Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Cathay Consolidated, Inc. (1342.TW)

Company Dividend Discount ModelIndustry: Apparel - ManufacturersSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$547.61 - $1,076.75$1,009.07
Multi-Stage$172.28 - $188.29$180.14
Blended Fair Value$594.61
Current Price$86.10
Upside590.60%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019201820172016
DPS48.14%0.00%4.504.792.572.141.950.630.380.380.380.00
YoY Growth---6.13%86.70%20.00%9.49%209.83%66.67%0.00%0.00%0.00%0.00%
Dividend Yield--4.81%3.77%1.82%3.70%3.78%1.54%0.61%0.61%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)429.35
(-) Cash Dividends Paid (M)376.80
(=) Cash Retained (M)52.56
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)85.8753.6732.20
Cash Retained (M)52.5652.5652.56
(-) Cash Required (M)-85.87-53.67-32.20
(=) Excess Retained (M)-33.31-1.1120.35
(/) Shares Outstanding (M)79.3079.3079.30
(=) Excess Retained per Share-0.42-0.010.26
LTM Dividend per Share4.754.754.75
(+) Excess Retained per Share-0.42-0.010.26
(=) Adjusted Dividend4.334.745.01
WACC / Discount Rate6.33%6.33%6.33%
Growth Rate5.50%6.50%7.50%
Fair Value$547.61$1,009.07$1,076.75
Upside / Downside536.02%1,071.98%1,150.58%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)429.35457.26486.98518.63552.35588.25605.90
Payout Ratio87.76%88.21%88.66%89.10%89.55%90.00%92.50%
Projected Dividends (M)376.80403.34431.74462.12494.64529.42560.45

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.33%6.33%6.33%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)375.75379.31382.87
Year 2 PV (M)374.69381.83389.03
Year 3 PV (M)373.63384.36395.29
Year 4 PV (M)372.56386.89401.63
Year 5 PV (M)371.49389.43408.06
PV of Terminal Value (M)11,793.9312,363.5812,955.03
Equity Value (M)13,662.0514,285.4014,931.91
Shares Outstanding (M)79.3079.3079.30
Fair Value$172.28$180.14$188.29
Upside / Downside100.09%109.22%118.69%

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