Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Mphasis Limited (MPHASIS.BO)

Company Dividend Discount ModelIndustry: Information Technology ServicesSector: Technology

Valuation Snapshot

Stable Growth$1,975.12 - $4,659.04$2,908.72
Multi-Stage$1,460.64 - $1,592.11$1,525.20
Blended Fair Value$2,216.96
Current Price$2,654.80
Upside-16.49%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS11.39%19.70%54.4849.3845.3263.7934.1931.7724.3820.6926.4821.17
YoY Growth--10.33%8.96%-28.94%86.57%7.61%30.30%17.86%-21.87%25.06%134.74%
Dividend Yield--1.91%1.98%2.39%2.78%1.60%3.62%2.46%1.91%4.42%3.69%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)17,850.76
(-) Cash Dividends Paid (M)10,401.84
(=) Cash Retained (M)7,448.92
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)3,570.152,231.351,338.81
Cash Retained (M)7,448.927,448.927,448.92
(-) Cash Required (M)-3,570.15-2,231.35-1,338.81
(=) Excess Retained (M)3,878.775,217.586,110.11
(/) Shares Outstanding (M)190.90190.90190.90
(=) Excess Retained per Share20.3227.3332.01
LTM Dividend per Share54.4954.4954.49
(+) Excess Retained per Share20.3227.3332.01
(=) Adjusted Dividend74.8181.8286.49
WACC / Discount Rate9.50%9.50%9.50%
Growth Rate5.50%6.50%7.50%
Fair Value$1,975.12$2,908.72$4,659.04
Upside / Downside-25.60%9.56%75.49%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)17,850.7619,011.0620,246.7821,562.8222,964.4024,457.0925,190.80
Payout Ratio58.27%64.62%70.96%77.31%83.65%90.00%92.50%
Projected Dividends (M)10,401.8412,284.3614,367.6616,669.8819,210.6922,011.3823,301.49

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.50%9.50%9.50%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)11,113.6911,219.0311,324.37
Year 2 PV (M)11,759.7311,983.7212,209.82
Year 3 PV (M)12,343.8212,698.1713,059.23
Year 4 PV (M)12,869.6313,364.5613,873.62
Year 5 PV (M)13,340.6213,984.9714,653.99
PV of Terminal Value (M)217,412.91227,914.04238,817.06
Equity Value (M)278,840.40291,164.49303,938.11
Shares Outstanding (M)190.90190.90190.90
Fair Value$1,460.64$1,525.20$1,592.11
Upside / Downside-44.98%-42.55%-40.03%

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