Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

GE Vernova Inc. (GEV)

Company Dividend Discount ModelIndustry: Renewable UtilitiesSector: Utilities

Valuation Snapshot

Stable Growth$33.58 - $46.03$39.88
Multi-Stage$42.96 - $47.10$44.99
Blended Fair Value$42.43
Current Price$614.90
Upside-93.10%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021
DPS0.00%0.00%0.000.000.000.000.000.000.000.000.000.00
YoY Growth--0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Dividend Yield--0.00%0.00%0.00%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)1,704.00
(-) Cash Dividends Paid (M)207.00
(=) Cash Retained (M)1,497.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)340.80213.00127.80
Cash Retained (M)1,497.001,497.001,497.00
(-) Cash Required (M)-340.80-213.00-127.80
(=) Excess Retained (M)1,156.201,284.001,369.20
(/) Shares Outstanding (M)277.00277.00277.00
(=) Excess Retained per Share4.174.644.94
LTM Dividend per Share0.750.750.75
(+) Excess Retained per Share4.174.644.94
(=) Adjusted Dividend4.925.385.69
WACC / Discount Rate12.36%12.36%12.36%
Growth Rate-2.00%-1.00%0.00%
Fair Value$33.58$39.88$46.03
Upside / Downside-94.54%-93.51%-92.51%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,704.001,686.961,670.091,653.391,636.861,620.491,669.10
Payout Ratio12.15%27.72%43.29%58.86%74.43%90.00%92.50%
Projected Dividends (M)207.00467.60722.96973.171,218.301,458.441,543.92

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate12.36%12.36%12.36%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)411.95416.15420.36
Year 2 PV (M)561.13572.64584.26
Year 3 PV (M)665.44686.02707.02
Year 4 PV (M)733.92764.33795.69
Year 5 PV (M)774.02814.32856.29
PV of Terminal Value (M)8,752.559,208.329,682.87
Equity Value (M)11,899.0012,461.7813,046.49
Shares Outstanding (M)277.00277.00277.00
Fair Value$42.96$44.99$47.10
Upside / Downside-93.01%-92.68%-92.34%

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