Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Entergy Louisiana, LLC COLLATERAL TR MT (ELC)

Company Dividend Discount ModelIndustry: Regulated ElectricSector: Utilities

Valuation Snapshot

Stable Growth$87.76 - $215.71$131.02
Multi-Stage$107.36 - $117.68$112.42
Blended Fair Value$121.72
Current Price$93.19
Upside30.62%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS6.65%5.11%2.222.071.901.751.691.611.461.421.381.35
YoY Growth--6.91%9.09%8.59%3.58%5.17%9.86%2.99%2.79%2.16%0.47%
Dividend Yield--2.59%3.96%3.53%3.00%3.40%3.42%3.10%3.61%3.64%3.41%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)1,817.59
(-) Cash Dividends Paid (M)1,042.34
(=) Cash Retained (M)775.25
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)363.52227.20136.32
Cash Retained (M)775.25775.25775.25
(-) Cash Required (M)-363.52-227.20-136.32
(=) Excess Retained (M)411.73548.05638.93
(/) Shares Outstanding (M)442.51442.51442.51
(=) Excess Retained per Share0.931.241.44
LTM Dividend per Share2.362.362.36
(+) Excess Retained per Share0.931.241.44
(=) Adjusted Dividend3.293.593.80
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate2.65%3.65%4.65%
Fair Value$87.76$131.02$215.71
Upside / Downside-5.82%40.59%131.47%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)1,817.591,883.891,952.612,023.842,097.662,174.182,239.40
Payout Ratio57.35%63.88%70.41%76.94%83.47%90.00%92.50%
Projected Dividends (M)1,042.341,203.391,374.801,557.121,750.911,956.762,071.45

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.49%6.49%6.49%
Growth Rate2.65%3.65%4.65%
Year 1 PV (M)1,119.141,130.041,140.94
Year 2 PV (M)1,189.031,212.311,235.82
Year 3 PV (M)1,252.421,289.391,327.07
Year 4 PV (M)1,309.691,361.481,414.79
Year 5 PV (M)1,361.201,428.811,499.07
PV of Terminal Value (M)41,276.7243,326.8845,457.71
Equity Value (M)47,508.2049,748.9052,075.39
Shares Outstanding (M)442.51442.51442.51
Fair Value$107.36$112.42$117.68
Upside / Downside15.21%20.64%26.28%

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