Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Euroseas Ltd. (ESEA)

Company Dividend Discount ModelIndustry: Marine ShippingSector: Industrials

Valuation Snapshot

Stable Growth$568.02 - $2,997.91$1,025.42
Multi-Stage$336.23 - $367.85$351.75
Blended Fair Value$688.59
Current Price$59.61
Upside1,055.15%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS0.00%104.68%2.412.001.550.000.000.000.000.000.000.00
YoY Growth--20.43%29.41%0.00%0.00%0.00%0.00%0.00%0.00%0.00%-100.00%
Dividend Yield--7.88%6.80%10.29%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)120.86
(-) Cash Dividends Paid (M)18.31
(=) Cash Retained (M)102.56
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)24.1715.119.06
Cash Retained (M)102.56102.56102.56
(-) Cash Required (M)-24.17-15.11-9.06
(=) Excess Retained (M)78.3887.4593.49
(/) Shares Outstanding (M)6.976.976.97
(=) Excess Retained per Share11.2412.5413.40
LTM Dividend per Share2.622.622.62
(+) Excess Retained per Share11.2412.5413.40
(=) Adjusted Dividend13.8615.1616.03
WACC / Discount Rate8.07%8.07%8.07%
Growth Rate5.50%6.50%7.50%
Fair Value$568.02$1,025.42$2,997.91
Upside / Downside852.90%1,620.22%4,929.20%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)120.86128.72137.09146.00155.49165.59170.56
Payout Ratio15.15%30.12%45.09%60.06%75.03%90.00%92.50%
Projected Dividends (M)18.3138.7761.8187.68116.66149.04157.77

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate8.07%8.07%8.07%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)35.5335.8736.21
Year 2 PV (M)51.9352.9253.92
Year 3 PV (M)67.5269.4671.44
Year 4 PV (M)82.3585.5188.77
Year 5 PV (M)96.42101.08105.92
PV of Terminal Value (M)2,011.412,108.572,209.44
Equity Value (M)2,345.172,453.412,565.68
Shares Outstanding (M)6.976.976.97
Fair Value$336.23$351.75$367.85
Upside / Downside464.05%490.09%517.09%

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