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HA Sustainable Infrastructure Capital, Inc. (0J2Z.L)

Company Dividend Discount ModelIndustry: Financial - DiversifiedSector: Financial Services

Valuation Snapshot

Stable Growth$52.64 - $140.54$80.66
Multi-Stage$37.74 - $41.14$39.41
Blended Fair Value$60.03
Current Price$30.70
Upside95.55%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS17.35%30.08%1.391.160.960.820.720.630.510.490.360.23
YoY Growth--20.33%20.87%16.46%13.66%15.58%21.72%4.04%37.90%56.63%127.86%
Dividend Yield--4.76%4.12%3.35%1.73%1.29%3.07%1.99%2.53%1.77%1.19%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)308.40
(-) Cash Dividends Paid (M)205.72
(=) Cash Retained (M)102.68
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)61.6838.5523.13
Cash Retained (M)102.68102.68102.68
(-) Cash Required (M)-61.68-38.55-23.13
(=) Excess Retained (M)41.0064.1379.55
(/) Shares Outstanding (M)138.11138.11138.11
(=) Excess Retained per Share0.300.460.58
LTM Dividend per Share1.491.491.49
(+) Excess Retained per Share0.300.460.58
(=) Adjusted Dividend1.791.952.07
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Fair Value$52.64$80.66$140.54
Upside / Downside71.48%162.72%357.77%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)308.40328.45349.80372.53396.75422.54435.21
Payout Ratio66.70%71.36%76.02%80.68%85.34%90.00%92.50%
Projected Dividends (M)205.72234.39265.93300.57338.59380.28402.57

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)212.86214.88216.90
Year 2 PV (M)219.32223.50227.71
Year 3 PV (M)225.12231.58238.17
Year 4 PV (M)230.31239.16248.27
Year 5 PV (M)234.91246.25258.03
PV of Terminal Value (M)4,090.064,287.614,492.72
Equity Value (M)5,212.575,442.985,681.80
Shares Outstanding (M)138.11138.11138.11
Fair Value$37.74$39.41$41.14
Upside / Downside22.94%28.37%34.01%

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