Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Oaktree Acquisition Corp. III Life Sciences (OACC)

Company Dividend Discount ModelIndustry: Shell CompaniesSector: Financial Services

Valuation Snapshot

Stable Growth$2.84 - $4.44$3.58
Multi-Stage$6.89 - $7.58$7.23
Blended Fair Value$5.40
Current Price$10.51
Upside-48.58%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024
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)6.88
(-) Cash Dividends Paid (M)4.25
(=) Cash Retained (M)2.63
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)1.380.860.52
Cash Retained (M)2.632.632.63
(-) Cash Required (M)-1.38-0.86-0.52
(=) Excess Retained (M)1.261.772.12
(/) Shares Outstanding (M)23.2423.2423.24
(=) Excess Retained per Share0.050.080.09
LTM Dividend per Share0.180.180.18
(+) Excess Retained per Share0.050.080.09
(=) Adjusted Dividend0.240.260.27
WACC / Discount Rate6.16%6.16%6.16%
Growth Rate-2.00%-1.00%0.00%
Fair Value$2.84$3.58$4.44
Upside / Downside-72.95%-65.93%-57.72%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)6.886.816.746.686.616.546.74
Payout Ratio61.74%67.39%73.05%78.70%84.35%90.00%92.50%
Projected Dividends (M)4.254.594.935.255.575.896.23

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate6.16%6.16%6.16%
Growth Rate-2.00%-1.00%0.00%
Year 1 PV (M)4.284.324.37
Year 2 PV (M)4.284.374.46
Year 3 PV (M)4.264.394.52
Year 4 PV (M)4.214.394.57
Year 5 PV (M)4.154.374.59
PV of Terminal Value (M)138.89146.13153.66
Equity Value (M)160.08167.96176.17
Shares Outstanding (M)23.2423.2423.24
Fair Value$6.89$7.23$7.58
Upside / Downside-34.45%-31.22%-27.87%

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