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Heiwa Corporation (6412.T)

Company Dividend Discount ModelIndustry: LeisureSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$1,136.95 - $1,741.33$1,419.19
Multi-Stage$2,508.97 - $2,758.61$2,631.35
Blended Fair Value$2,025.27
Current Price$2,104.00
Upside-3.74%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS-0.01%1.42%80.0180.0180.0279.9780.0380.0379.9979.8579.8774.64
YoY Growth--0.00%-0.01%0.06%-0.08%0.00%0.05%0.18%-0.03%7.00%7.38%
Dividend Yield--3.81%3.84%3.20%3.97%4.07%4.44%3.55%2.99%3.19%3.61%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)12,457.00
(-) Cash Dividends Paid (M)7,890.00
(=) Cash Retained (M)4,567.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)2,491.401,557.13934.28
Cash Retained (M)4,567.004,567.004,567.00
(-) Cash Required (M)-2,491.40-1,557.13-934.28
(=) Excess Retained (M)2,075.603,009.883,632.73
(/) Shares Outstanding (M)98.6398.6398.63
(=) Excess Retained per Share21.0430.5236.83
LTM Dividend per Share80.0080.0080.00
(+) Excess Retained per Share21.0430.5236.83
(=) Adjusted Dividend101.04110.52116.83
WACC / Discount Rate6.70%6.70%6.70%
Growth Rate-2.01%-1.01%-0.01%
Fair Value$1,136.95$1,419.19$1,741.33
Upside / Downside-45.96%-32.55%-17.24%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)12,457.0012,331.8012,207.8612,085.1611,963.6911,843.4512,198.75
Payout Ratio63.34%68.67%74.00%79.34%84.67%90.00%92.50%
Projected Dividends (M)7,890.008,468.289,034.159,587.7810,129.3710,659.1111,283.85

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.70%6.70%6.70%
Growth Rate-2.01%-1.01%-0.01%
Year 1 PV (M)7,856.087,936.258,016.41
Year 2 PV (M)7,775.137,934.638,095.74
Year 3 PV (M)7,655.077,891.828,133.40
Year 4 PV (M)7,502.817,813.788,134.33
Year 5 PV (M)7,324.417,705.838,102.98
PV of Terminal Value (M)209,339.58220,240.95231,591.82
Equity Value (M)247,453.09259,523.27272,074.69
Shares Outstanding (M)98.6398.6398.63
Fair Value$2,508.97$2,631.35$2,758.61
Upside / Downside19.25%25.06%31.11%

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