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China Lilang Limited (1234.HK)

Company Dividend Discount ModelIndustry: Apparel - ManufacturersSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$7.54 - $11.68$9.46
Multi-Stage$17.86 - $19.65$18.74
Blended Fair Value$14.10
Current Price$3.41
Upside313.38%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-8.22%0.83%0.330.290.280.370.440.510.410.350.360.35
YoY Growth--14.25%2.24%-23.64%-14.34%-14.77%23.65%17.64%-2.48%4.30%12.78%
Dividend Yield--9.16%7.62%8.57%10.50%9.78%8.99%7.13%6.67%9.21%7.21%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)963.29
(-) Cash Dividends Paid (M)641.60
(=) Cash Retained (M)321.69
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)192.66120.4172.25
Cash Retained (M)321.69321.69321.69
(-) Cash Required (M)-192.66-120.41-72.25
(=) Excess Retained (M)129.03201.28249.44
(/) Shares Outstanding (M)1,197.491,197.491,197.49
(=) Excess Retained per Share0.110.170.21
LTM Dividend per Share0.540.540.54
(+) Excess Retained per Share0.110.170.21
(=) Adjusted Dividend0.640.700.74
WACC / Discount Rate6.32%6.32%6.32%
Growth Rate-2.05%-1.05%-0.05%
Fair Value$7.54$9.46$11.68
Upside / Downside120.99%177.33%242.66%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)963.29953.21943.23933.36923.60913.93941.35
Payout Ratio66.61%71.28%75.96%80.64%85.32%90.00%92.50%
Projected Dividends (M)641.60679.49716.51752.68788.02822.54870.75

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.32%6.32%6.32%
Growth Rate-2.05%-1.05%-0.05%
Year 1 PV (M)632.65639.10645.56
Year 2 PV (M)621.13633.87646.75
Year 3 PV (M)607.51626.30645.48
Year 4 PV (M)592.18616.74642.05
Year 5 PV (M)575.51605.49636.71
PV of Terminal Value (M)18,358.0119,314.4120,310.27
Equity Value (M)21,386.9822,435.9323,526.83
Shares Outstanding (M)1,197.491,197.491,197.49
Fair Value$17.86$18.74$19.65
Upside / Downside423.75%449.44%476.15%

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