Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Transportadora de Gas del Sur S.A. (TGSU2.BA)

Company Dividend Discount ModelIndustry: Oil & Gas IntegratedSector: Energy

Valuation Snapshot

Stable Growth$3,177.99 - $4,410.28$3,795.73
Multi-Stage$4,211.53 - $4,626.48$4,415.00
Blended Fair Value$4,105.36
Current Price$6,260.00
Upside-34.42%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019
DPS0.00%0.00%0.000.000.000.000.0026.650.000.000.000.00
YoY Growth--0.00%0.00%0.00%-100.00%-100.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)407,332.26
(-) Cash Dividends Paid (M)11,591.32
(=) Cash Retained (M)395,740.94
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)81,466.4550,916.5330,549.92
Cash Retained (M)395,740.94395,740.94395,740.94
(-) Cash Required (M)-81,466.45-50,916.53-30,549.92
(=) Excess Retained (M)314,274.49344,824.41365,191.02
(/) Shares Outstanding (M)752.75752.75752.75
(=) Excess Retained per Share417.50458.09485.14
LTM Dividend per Share15.4015.4015.40
(+) Excess Retained per Share417.50458.09485.14
(=) Adjusted Dividend432.90473.48500.54
WACC / Discount Rate11.35%11.35%11.35%
Growth Rate-2.00%-1.00%0.00%
Fair Value$3,177.99$3,795.73$4,410.28
Upside / Downside-49.23%-39.37%-29.55%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)407,332.26403,258.94399,226.35395,234.08391,281.74387,368.93398,989.99
Payout Ratio2.85%20.28%37.71%55.14%72.57%90.00%92.50%
Projected Dividends (M)11,591.3281,766.93150,537.87217,925.22283,949.77348,632.03369,065.74

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate11.35%11.35%11.35%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)72,691.0173,432.7674,174.50
Year 2 PV (M)118,973.93121,414.35123,879.56
Year 3 PV (M)153,114.57157,849.74162,681.55
Year 4 PV (M)177,359.13184,709.84192,286.70
Year 5 PV (M)193,589.73203,670.40214,166.70
PV of Terminal Value (M)2,454,503.212,582,314.882,715,396.32
Equity Value (M)3,170,231.583,323,391.973,482,585.33
Shares Outstanding (M)752.75752.75752.75
Fair Value$4,211.53$4,415.00$4,626.48
Upside / Downside-32.72%-29.47%-26.09%

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