Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

KT Corporation (030200.KS)

Company Dividend Discount ModelIndustry: Telecommunications ServicesSector: Communication Services

Valuation Snapshot

Stable Growth$47,331.44 - $81,265.06$61,991.37
Multi-Stage$100,070.69 - $110,025.61$104,951.65
Blended Fair Value$83,471.51
Current Price$55,700.00
Upside49.86%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS23.38%14.63%3,562.052,151.181,839.081,430.511,268.131,246.051,219.40992.81751.73169.76
YoY Growth--65.59%16.97%28.56%12.80%1.77%2.19%22.82%32.07%342.81%-81.34%
Dividend Yield--7.18%5.71%6.24%4.01%4.49%6.28%4.47%0.00%2.56%0.57%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)929,241.00
(-) Cash Dividends Paid (M)534,313.00
(=) Cash Retained (M)394,928.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)185,848.20116,155.1369,693.08
Cash Retained (M)394,928.00394,928.00394,928.00
(-) Cash Required (M)-185,848.20-116,155.13-69,693.08
(=) Excess Retained (M)209,079.80278,772.88325,234.93
(/) Shares Outstanding (M)244.90244.90244.90
(=) Excess Retained per Share853.731,138.311,328.02
LTM Dividend per Share2,181.752,181.752,181.75
(+) Excess Retained per Share853.731,138.311,328.02
(=) Adjusted Dividend3,035.483,320.063,509.77
WACC / Discount Rate6.01%6.01%6.01%
Growth Rate-0.38%0.62%1.62%
Fair Value$47,331.44$61,991.37$81,265.06
Upside / Downside-15.02%11.30%45.90%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)929,241.00935,009.07940,812.94946,652.84952,528.99958,441.61987,194.86
Payout Ratio57.50%64.00%70.50%77.00%83.50%90.00%92.50%
Projected Dividends (M)534,313.00598,405.34663,272.77728,922.45795,361.59862,597.45913,155.25

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.01%6.01%6.01%
Growth Rate-0.38%0.62%1.62%
Year 1 PV (M)558,871.97564,481.96570,091.96
Year 2 PV (M)578,530.02590,202.96601,992.50
Year 3 PV (M)593,788.69611,850.26630,274.43
Year 4 PV (M)605,106.85629,771.56655,182.71
Year 5 PV (M)612,904.05644,289.73676,948.21
PV of Terminal Value (M)21,558,236.6822,662,194.1323,810,920.70
Equity Value (M)24,507,438.2425,702,790.6126,945,410.51
Shares Outstanding (M)244.90244.90244.90
Fair Value$100,070.69$104,951.65$110,025.61
Upside / Downside79.66%88.42%97.53%

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