Definitive Analysis
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Definitive Analysis

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Posco Dx Company Ltd. (022100.KQ)

Company Dividend Discount ModelIndustry: Information Technology ServicesSector: Technology

Valuation Snapshot

Stable Growth$16,904.07 - $90,504.13$30,595.48
Multi-Stage$10,080.16 - $11,022.89$10,542.92
Blended Fair Value$20,569.20
Current Price$54,000.00
Upside-61.91%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS14.87%11.59%100.0074.9949.9950.2550.3449.9975.0751.330.1617.71
YoY Growth--33.35%50.00%-0.51%-0.18%0.69%-33.40%46.26%32,183.05%-99.10%-46.98%
Dividend Yield--0.19%0.14%0.53%0.81%0.68%1.31%1.26%0.66%0.00%0.36%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)77,974.45
(-) Cash Dividends Paid (M)19,176.78
(=) Cash Retained (M)58,797.67
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)15,594.899,746.815,848.08
Cash Retained (M)58,797.6758,797.6758,797.67
(-) Cash Required (M)-15,594.89-9,746.81-5,848.08
(=) Excess Retained (M)43,202.7849,050.8752,949.59
(/) Shares Outstanding (M)151.82151.82151.82
(=) Excess Retained per Share284.56323.08348.76
LTM Dividend per Share126.31126.31126.31
(+) Excess Retained per Share284.56323.08348.76
(=) Adjusted Dividend410.87449.39475.07
WACC / Discount Rate8.06%8.06%8.06%
Growth Rate5.50%6.50%7.50%
Fair Value$16,904.07$30,595.48$90,504.13
Upside / Downside-68.70%-43.34%67.60%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)77,974.4583,042.7988,440.5794,189.21100,311.51106,831.76110,036.71
Payout Ratio24.59%37.67%50.76%63.84%76.92%90.00%92.50%
Projected Dividends (M)19,176.7831,286.3244,889.0860,128.0177,158.3496,148.58101,783.96

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.06%8.06%8.06%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)28,679.7428,951.5829,223.43
Year 2 PV (M)37,720.9038,439.3739,164.63
Year 3 PV (M)46,316.8347,646.4249,001.22
Year 4 PV (M)54,483.5856,578.8658,734.01
Year 5 PV (M)62,236.6665,242.7168,363.82
PV of Terminal Value (M)1,300,962.561,363,799.541,429,041.43
Equity Value (M)1,530,400.261,600,658.491,673,528.53
Shares Outstanding (M)151.82151.82151.82
Fair Value$10,080.16$10,542.92$11,022.89
Upside / Downside-81.33%-80.48%-79.59%

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