Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Cruzeiro do Sul Educacional S.A. (CSED3.SA)

Company Dividend Discount ModelIndustry: Education & Training ServicesSector: Consumer Defensive

Valuation Snapshot

Stable Growth$116.93 - $137.77$129.11
Multi-Stage$53.69 - $58.90$56.24
Blended Fair Value$92.68
Current Price$4.92
Upside1,783.67%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS3.71%23.59%0.160.230.140.200.150.140.110.070.070.04
YoY Growth---29.48%70.17%-30.42%33.06%8.00%25.00%59.93%-0.75%55.56%124.56%
Dividend Yield--4.33%5.35%7.30%4.76%1.45%1.24%0.99%0.00%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)252.53
(-) Cash Dividends Paid (M)77.00
(=) Cash Retained (M)175.53
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)50.5131.5718.94
Cash Retained (M)175.53175.53175.53
(-) Cash Required (M)-50.51-31.57-18.94
(=) Excess Retained (M)125.02143.96156.59
(/) Shares Outstanding (M)364.54364.54364.54
(=) Excess Retained per Share0.340.390.43
LTM Dividend per Share0.210.210.21
(+) Excess Retained per Share0.340.390.43
(=) Adjusted Dividend0.550.610.64
WACC / Discount Rate4.36%4.36%4.36%
Growth Rate5.50%6.50%7.50%
Fair Value$116.93$129.11$137.77
Upside / Downside2,276.71%2,524.17%2,700.17%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)252.53268.95286.43305.04324.87345.99356.37
Payout Ratio30.49%42.39%54.29%66.20%78.10%90.00%92.50%
Projected Dividends (M)77.00114.01155.51201.93253.72311.39329.64

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate4.36%4.36%4.36%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)108.23109.25110.28
Year 2 PV (M)140.13142.80145.49
Year 3 PV (M)172.71177.67182.72
Year 4 PV (M)206.00213.92222.07
Year 5 PV (M)239.99251.58263.61
PV of Terminal Value (M)18,704.3819,607.8120,545.81
Equity Value (M)19,571.4320,503.0321,469.99
Shares Outstanding (M)364.54364.54364.54
Fair Value$53.69$56.24$58.90
Upside / Downside991.22%1,043.16%1,097.08%

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