Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

RaySearch Laboratories AB (publ) (RAY-B.ST)

Company Dividend Discount ModelIndustry: Medical - Healthcare Information ServicesSector: Healthcare

Valuation Snapshot

Stable Growth$266.16 - $1,272.33$579.54
Multi-Stage$144.26 - $157.67$150.85
Blended Fair Value$365.19
Current Price$252.00
Upside44.92%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.00%0.00%2.000.000.000.000.000.000.000.000.250.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%-100.00%0.00%0.00%
Dividend Yield--0.89%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.11%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)219.17
(-) Cash Dividends Paid (M)102.90
(=) Cash Retained (M)116.27
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)43.8327.4016.44
Cash Retained (M)116.27116.27116.27
(-) Cash Required (M)-43.83-27.40-16.44
(=) Excess Retained (M)72.4488.8799.83
(/) Shares Outstanding (M)34.2634.2634.26
(=) Excess Retained per Share2.112.592.91
LTM Dividend per Share3.003.003.00
(+) Excess Retained per Share2.112.592.91
(=) Adjusted Dividend5.125.605.92
WACC / Discount Rate7.53%7.53%7.53%
Growth Rate5.50%6.50%7.50%
Fair Value$266.16$579.54$1,272.33
Upside / Downside5.62%129.98%404.89%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)219.17233.41248.58264.74281.95300.28309.28
Payout Ratio46.95%55.56%64.17%72.78%81.39%90.00%92.50%
Projected Dividends (M)102.90129.68159.51192.68229.48270.25286.09

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.53%7.53%7.53%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)119.47120.60121.73
Year 2 PV (M)135.38137.96140.56
Year 3 PV (M)150.65154.97159.38
Year 4 PV (M)165.29171.65178.19
Year 5 PV (M)179.33187.99196.99
PV of Terminal Value (M)4,191.954,394.424,604.65
Equity Value (M)4,942.075,167.605,401.49
Shares Outstanding (M)34.2634.2634.26
Fair Value$144.26$150.85$157.67
Upside / Downside-42.75%-40.14%-37.43%

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