Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Arealink Co., Ltd. (8914.T)

Company Dividend Discount ModelIndustry: Real Estate - ServicesSector: Real Estate

Valuation Snapshot

Stable Growth$2,137.84 - $8,891.50$3,678.76
Multi-Stage$1,350.82 - $1,475.37$1,411.96
Blended Fair Value$2,545.36
Current Price$1,211.00
Upside110.19%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS20.41%17.01%28.9517.2011.727.709.9311.439.669.459.408.68
YoY Growth--68.26%46.81%52.15%-22.45%-13.14%18.41%2.16%0.57%8.29%44.22%
Dividend Yield--2.96%2.60%1.99%1.15%1.71%3.26%2.05%0.55%1.27%1.43%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)3,589.34
(-) Cash Dividends Paid (M)1,609.13
(=) Cash Retained (M)1,980.21
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)717.87448.67269.20
Cash Retained (M)1,980.211,980.211,980.21
(-) Cash Required (M)-717.87-448.67-269.20
(=) Excess Retained (M)1,262.341,531.541,711.00
(/) Shares Outstanding (M)50.7850.7850.78
(=) Excess Retained per Share24.8630.1633.69
LTM Dividend per Share31.6931.6931.69
(+) Excess Retained per Share24.8630.1633.69
(=) Adjusted Dividend56.5561.8565.38
WACC / Discount Rate8.29%8.29%8.29%
Growth Rate5.50%6.50%7.50%
Fair Value$2,137.84$3,678.76$8,891.50
Upside / Downside76.54%203.78%634.23%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)3,589.343,822.644,071.114,335.744,617.564,917.705,065.23
Payout Ratio44.83%53.86%62.90%71.93%80.97%90.00%92.50%
Projected Dividends (M)1,609.132,059.052,560.673,118.803,738.664,425.934,685.34

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.29%8.29%8.29%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)1,883.561,901.421,919.27
Year 2 PV (M)2,142.792,183.602,224.80
Year 3 PV (M)2,387.402,455.932,525.76
Year 4 PV (M)2,617.982,718.662,822.22
Year 5 PV (M)2,835.092,972.033,114.21
PV of Terminal Value (M)56,729.6059,469.6662,314.59
Equity Value (M)68,596.4271,701.3074,920.85
Shares Outstanding (M)50.7850.7850.78
Fair Value$1,350.82$1,411.96$1,475.37
Upside / Downside11.55%16.59%21.83%

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