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F&G Annuities & Life, Inc. (FG)

Company Dividend Discount ModelIndustry: Insurance - LifeSector: Financial Services

Valuation Snapshot

Stable Growth$82.56 - $220.39$126.49
Multi-Stage$56.67 - $61.90$59.24
Blended Fair Value$92.86
Current Price$31.27
Upside196.96%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019201820172016
DPS68.15%0.00%0.910.760.000.000.000.070.000.000.000.00
YoY Growth--19.80%0.00%0.00%0.00%-100.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--2.53%1.88%0.00%0.00%0.00%0.41%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)464.00
(-) Cash Dividends Paid (M)131.00
(=) Cash Retained (M)333.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)92.8058.0034.80
Cash Retained (M)333.00333.00333.00
(-) Cash Required (M)-92.80-58.00-34.80
(=) Excess Retained (M)240.20275.00298.20
(/) Shares Outstanding (M)132.50132.50132.50
(=) Excess Retained per Share1.812.082.25
LTM Dividend per Share0.990.990.99
(+) Excess Retained per Share1.812.082.25
(=) Adjusted Dividend2.803.063.24
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Fair Value$82.56$126.49$220.39
Upside / Downside164.02%304.49%604.80%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)464.00494.16526.28560.49596.92635.72654.79
Payout Ratio28.23%40.59%52.94%65.29%77.65%90.00%92.50%
Projected Dividends (M)131.00200.56278.61365.96463.49572.15605.68

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)182.14183.87185.59
Year 2 PV (M)229.78234.16238.58
Year 3 PV (M)274.10281.97289.98
Year 4 PV (M)315.26327.38339.85
Year 5 PV (M)353.42370.50388.22
PV of Terminal Value (M)6,153.616,450.836,759.43
Equity Value (M)7,508.317,848.708,201.66
Shares Outstanding (M)132.50132.50132.50
Fair Value$56.67$59.24$61.90
Upside / Downside81.22%89.43%97.95%

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