Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

KT Corporation (030200.KS)

Company Dividend Discount ModelIndustry: Telecommunications ServicesSector: Communication Services

Valuation Snapshot

Stable Growth$41,926.71 - $68,424.98$53,773.20
Multi-Stage$78,254.26 - $85,937.36$82,021.83
Blended Fair Value$67,897.52
Current Price$55,700.00
Upside21.90%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS23.38%14.63%3,562.052,151.181,839.081,430.511,268.131,246.051,219.40992.81751.73169.76
YoY Growth--65.59%16.97%28.56%12.80%1.77%2.19%22.82%32.07%342.81%-81.34%
Dividend Yield--7.18%5.71%6.24%4.01%4.49%6.28%4.47%0.00%2.56%0.57%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)929,241.00
(-) Cash Dividends Paid (M)534,313.00
(=) Cash Retained (M)394,928.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)185,848.20116,155.1369,693.08
Cash Retained (M)394,928.00394,928.00394,928.00
(-) Cash Required (M)-185,848.20-116,155.13-69,693.08
(=) Excess Retained (M)209,079.80278,772.88325,234.93
(/) Shares Outstanding (M)244.90244.90244.90
(=) Excess Retained per Share853.731,138.311,328.02
LTM Dividend per Share2,181.752,181.752,181.75
(+) Excess Retained per Share853.731,138.311,328.02
(=) Adjusted Dividend3,035.483,320.063,509.77
WACC / Discount Rate6.83%6.83%6.83%
Growth Rate-0.38%0.62%1.62%
Fair Value$41,926.71$53,773.20$68,424.98
Upside / Downside-24.73%-3.46%22.85%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)929,241.00935,009.07940,812.94946,652.84952,528.99958,441.61987,194.86
Payout Ratio57.50%64.00%70.50%77.00%83.50%90.00%92.50%
Projected Dividends (M)534,313.00598,405.34663,272.77728,922.45795,361.59862,597.45913,155.25

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.83%6.83%6.83%
Growth Rate-0.38%0.62%1.62%
Year 1 PV (M)554,563.56560,130.31565,697.06
Year 2 PV (M)569,644.50581,138.16592,746.62
Year 3 PV (M)580,161.54597,808.61615,809.95
Year 4 PV (M)586,662.17610,575.06635,211.64
Year 5 PV (M)589,640.78619,835.19651,254.09
PV of Terminal Value (M)16,283,894.3217,117,762.4517,985,446.68
Equity Value (M)19,164,566.8620,087,249.7821,046,166.04
Shares Outstanding (M)244.90244.90244.90
Fair Value$78,254.26$82,021.83$85,937.36
Upside / Downside40.49%47.26%54.29%

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