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DT Cloud Star Acquisition Corporation (DTSQ)

Company Dividend Discount ModelIndustry: Financial - ConglomeratesSector: Financial Services

Valuation Snapshot

Stable Growth$2.16 - $3.11$2.62
Multi-Stage$3.79 - $4.15$3.97
Blended Fair Value$3.30
Current Price$10.49
Upside-68.59%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022
DPS0.00%0.00%0.170.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--1.69%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)2.56
(-) Cash Dividends Paid (M)2.23
(=) Cash Retained (M)0.33
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)0.510.320.19
Cash Retained (M)0.330.330.33
(-) Cash Required (M)-0.51-0.32-0.19
(=) Excess Retained (M)-0.180.010.14
(/) Shares Outstanding (M)8.408.408.40
(=) Excess Retained per Share-0.020.000.02
LTM Dividend per Share0.270.270.27
(+) Excess Retained per Share-0.020.000.02
(=) Adjusted Dividend0.240.270.28
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Fair Value$2.16$2.62$3.11
Upside / Downside-79.41%-74.99%-70.36%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)2.562.542.512.492.462.442.51
Payout Ratio87.02%87.61%88.21%88.81%89.40%90.00%92.50%
Projected Dividends (M)2.232.222.222.212.202.192.32

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)2.022.042.06
Year 2 PV (M)1.831.861.90
Year 3 PV (M)1.651.701.75
Year 4 PV (M)1.491.561.62
Year 5 PV (M)1.351.421.49
PV of Terminal Value (M)23.5224.7426.02
Equity Value (M)31.8633.3334.85
Shares Outstanding (M)8.408.408.40
Fair Value$3.79$3.97$4.15
Upside / Downside-63.85%-62.18%-60.45%

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