Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Cairo Communication S.p.A. (0N7I.L)

Company Dividend Discount ModelIndustry: Advertising AgenciesSector: Communication Services

Valuation Snapshot

Stable Growth$9.07 - $16.27$12.09
Multi-Stage$14.70 - $16.13$15.40
Blended Fair Value$13.75
Current Price$2.91
Upside372.36%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS2.90%5.46%0.270.230.270.040.000.230.100.050.120.16
YoY Growth--15.38%-14.05%572.22%0.00%-100.00%132.84%100.00%-57.32%-25.78%0.00%
Dividend Yield--10.98%12.82%18.12%1.97%0.00%8.53%2.78%1.35%3.07%3.44%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)88.10
(-) Cash Dividends Paid (M)48.40
(=) Cash Retained (M)39.70
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)17.6211.016.61
Cash Retained (M)39.7039.7039.70
(-) Cash Required (M)-17.62-11.01-6.61
(=) Excess Retained (M)22.0828.6933.09
(/) Shares Outstanding (M)134.42134.42134.42
(=) Excess Retained per Share0.160.210.25
LTM Dividend per Share0.360.360.36
(+) Excess Retained per Share0.160.210.25
(=) Adjusted Dividend0.520.570.61
WACC / Discount Rate6.74%6.74%6.74%
Growth Rate0.90%1.90%2.90%
Fair Value$9.07$12.09$16.27
Upside / Downside211.62%315.41%459.10%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)88.1089.7891.4993.2395.0096.8199.71
Payout Ratio54.94%61.95%68.96%75.98%82.99%90.00%92.50%
Projected Dividends (M)48.4055.6263.0970.8378.8487.1392.24

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.74%6.74%6.74%
Growth Rate0.90%1.90%2.90%
Year 1 PV (M)51.5952.1152.62
Year 2 PV (M)54.3055.3856.47
Year 3 PV (M)56.5558.2459.98
Year 4 PV (M)58.3960.7463.16
Year 5 PV (M)59.8662.8966.03
PV of Terminal Value (M)1,695.371,781.061,870.18
Equity Value (M)1,976.052,070.412,168.43
Shares Outstanding (M)134.42134.42134.42
Fair Value$14.70$15.40$16.13
Upside / Downside405.19%429.31%454.37%

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