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Tamawood Limited (TWD.AX)

Company Dividend Discount ModelIndustry: Residential ConstructionSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$2.77 - $4.24$3.46
Multi-Stage$5.54 - $6.08$5.81
Blended Fair Value$4.63
Current Price$2.70
Upside71.58%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS0.00%-1.81%0.130.110.080.110.070.000.220.190.180.17
YoY Growth--16.35%41.24%-23.65%43.60%0.00%-100.00%15.73%3.96%4.01%8.69%
Dividend Yield--4.90%4.66%3.75%3.84%2.08%0.00%5.84%4.67%4.87%5.57%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)11.32
(-) Cash Dividends Paid (M)9.11
(=) Cash Retained (M)2.22
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)2.261.420.85
Cash Retained (M)2.222.222.22
(-) Cash Required (M)-2.26-1.42-0.85
(=) Excess Retained (M)-0.050.801.37
(/) Shares Outstanding (M)36.9936.9936.99
(=) Excess Retained per Share0.000.020.04
LTM Dividend per Share0.250.250.25
(+) Excess Retained per Share0.000.020.04
(=) Adjusted Dividend0.240.270.28
WACC / Discount Rate7.23%7.23%7.23%
Growth Rate-1.49%-0.49%0.51%
Fair Value$2.77$3.46$4.24
Upside / Downside2.57%28.02%57.06%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)11.3211.2711.2111.1611.1011.0511.38
Payout Ratio80.43%82.34%84.26%86.17%88.09%90.00%92.50%
Projected Dividends (M)9.119.289.459.619.789.9410.53

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.23%7.23%7.23%
Growth Rate-1.49%-0.49%0.51%
Year 1 PV (M)8.578.658.74
Year 2 PV (M)8.058.228.38
Year 3 PV (M)7.577.808.04
Year 4 PV (M)7.117.407.70
Year 5 PV (M)6.677.027.38
PV of Terminal Value (M)167.12175.78184.79
Equity Value (M)205.08214.86225.03
Shares Outstanding (M)36.9936.9936.99
Fair Value$5.54$5.81$6.08
Upside / Downside105.35%115.14%125.32%

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