Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Blackstone/GSO Strategic Credit Fund (BGB)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$35.48 - $63.40$47.22
Multi-Stage$72.01 - $79.06$75.47
Blended Fair Value$61.35
Current Price$12.12
Upside406.15%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-6.15%0.00%1.141.120.890.871.131.561.261.341.261.26
YoY Growth--1.97%25.68%1.72%-22.47%-27.96%23.56%-5.88%6.67%0.00%0.00%
Dividend Yield--9.30%9.86%8.39%6.47%9.02%10.87%9.39%8.56%8.21%9.42%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)116.39
(-) Cash Dividends Paid (M)100.94
(=) Cash Retained (M)15.45
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)23.2814.558.73
Cash Retained (M)15.4515.4515.45
(-) Cash Required (M)-23.28-14.55-8.73
(=) Excess Retained (M)-7.830.906.72
(/) Shares Outstanding (M)44.6644.6644.66
(=) Excess Retained per Share-0.180.020.15
LTM Dividend per Share2.262.262.26
(+) Excess Retained per Share-0.180.020.15
(=) Adjusted Dividend2.082.282.41
WACC / Discount Rate6.00%6.00%6.00%
Growth Rate0.12%1.12%2.12%
Fair Value$35.48$47.22$63.40
Upside / Downside192.76%289.64%423.13%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)116.39117.69119.00120.33121.68123.03126.72
Payout Ratio86.72%87.38%88.03%88.69%89.34%90.00%92.50%
Projected Dividends (M)100.94102.84104.77106.72108.71110.73117.22

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.00%6.00%6.00%
Growth Rate0.12%1.12%2.12%
Year 1 PV (M)96.0697.0297.98
Year 2 PV (M)91.4193.2495.10
Year 3 PV (M)86.9889.6192.30
Year 4 PV (M)82.7686.1289.57
Year 5 PV (M)78.7482.7586.92
PV of Terminal Value (M)2,780.242,921.893,069.26
Equity Value (M)3,216.183,370.633,531.13
Shares Outstanding (M)44.6644.6644.66
Fair Value$72.01$75.47$79.06
Upside / Downside494.12%522.65%552.30%

High-Yield Dividend Screener

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