Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Man Group Limited (EMG.L)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$4.14 - $6.46$5.21
Multi-Stage$6.44 - $7.05$6.74
Blended Fair Value$5.97
Current Price$2.32
Upside157.47%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS4.78%1.65%0.160.150.150.130.120.130.160.130.130.16
YoY Growth--6.08%1.12%11.88%8.84%-3.29%-19.58%19.62%0.00%-18.13%18.40%
Dividend Yield--6.03%5.22%5.84%4.38%6.59%6.13%9.42%4.77%9.11%6.28%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)500.00
(-) Cash Dividends Paid (M)389.00
(=) Cash Retained (M)111.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)100.0062.5037.50
Cash Retained (M)111.00111.00111.00
(-) Cash Required (M)-100.00-62.50-37.50
(=) Excess Retained (M)11.0048.5073.50
(/) Shares Outstanding (M)1,187.281,187.281,187.28
(=) Excess Retained per Share0.010.040.06
LTM Dividend per Share0.330.330.33
(+) Excess Retained per Share0.010.040.06
(=) Adjusted Dividend0.340.370.39
WACC / Discount Rate8.40%8.40%8.40%
Growth Rate0.23%1.23%2.23%
Fair Value$4.14$5.21$6.46
Upside / Downside78.24%124.37%178.38%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)500.00506.16512.39518.70525.09531.56547.50
Payout Ratio77.80%80.24%82.68%85.12%87.56%90.00%92.50%
Projected Dividends (M)389.00406.14423.65441.52459.77478.40506.44

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.40%8.40%8.40%
Growth Rate0.23%1.23%2.23%
Year 1 PV (M)370.98374.68378.38
Year 2 PV (M)353.46360.55367.71
Year 3 PV (M)336.48346.65357.02
Year 4 PV (M)320.05333.01346.37
Year 5 PV (M)304.18319.66335.77
PV of Terminal Value (M)5,965.616,269.206,585.03
Equity Value (M)7,650.758,003.758,370.27
Shares Outstanding (M)1,187.281,187.281,187.28
Fair Value$6.44$6.74$7.05
Upside / Downside177.76%190.57%203.88%

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