Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

JPMorgan Japanese Investment Trust plc (JFJ.L)

Company Dividend Discount ModelIndustry: Asset ManagementSector: Financial Services

Valuation Snapshot

Stable Growth$8.30 - $11.87$10.05
Multi-Stage$12.76 - $14.03$13.38
Blended Fair Value$11.72
Current Price$5.62
Upside108.50%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS3.68%7.90%0.060.060.050.050.050.050.050.040.030.03
YoY Growth--1.16%15.08%1.84%1.03%0.00%0.00%36.97%30.37%0.00%0.00%
Dividend Yield--1.15%1.37%1.25%0.79%0.86%1.21%1.15%1.04%0.89%1.16%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)183.17
(-) Cash Dividends Paid (M)20.77
(=) Cash Retained (M)162.40
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)36.6322.9013.74
Cash Retained (M)162.40162.40162.40
(-) Cash Required (M)-36.63-22.90-13.74
(=) Excess Retained (M)125.77139.51148.67
(/) Shares Outstanding (M)151.42151.42151.42
(=) Excess Retained per Share0.830.920.98
LTM Dividend per Share0.140.140.14
(+) Excess Retained per Share0.830.920.98
(=) Adjusted Dividend0.971.061.12
WACC / Discount Rate9.42%9.42%9.42%
Growth Rate-2.00%-1.00%0.00%
Fair Value$8.30$10.05$11.87
Upside / Downside47.72%78.88%111.28%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)183.17181.34179.53177.73175.96174.20179.42
Payout Ratio11.34%27.07%42.80%58.54%74.27%90.00%92.50%
Projected Dividends (M)20.7749.0976.84104.04130.68156.78165.96

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.42%9.42%9.42%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)44.4144.8645.32
Year 2 PV (M)62.8964.1865.48
Year 3 PV (M)77.0279.4181.84
Year 4 PV (M)87.5291.1594.89
Year 5 PV (M)94.9999.94105.09
PV of Terminal Value (M)1,565.331,646.841,731.71
Equity Value (M)1,932.162,026.372,124.32
Shares Outstanding (M)151.42151.42151.42
Fair Value$12.76$13.38$14.03
Upside / Downside127.06%138.13%149.64%

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