Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Leggett & Platt, Incorporated (LEG)

Company Dividend Discount ModelIndustry: Furnishings, Fixtures & AppliancesSector: Consumer Cyclical

Valuation Snapshot

Stable Growth$13.91 - $21.15$17.31
Multi-Stage$45.65 - $50.46$48.01
Blended Fair Value$32.66
Current Price$8.88
Upside267.77%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS-7.80%-2.04%0.981.721.651.571.521.471.391.331.281.23
YoY Growth---43.07%4.45%4.99%3.22%3.37%5.63%4.36%4.62%3.38%2.45%
Dividend Yield--12.39%9.11%5.17%4.51%3.33%5.51%3.27%3.01%2.53%2.55%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)224.40
(-) Cash Dividends Paid (M)26.80
(=) Cash Retained (M)197.60
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)44.8828.0516.83
Cash Retained (M)197.60197.60197.60
(-) Cash Required (M)-44.88-28.05-16.83
(=) Excess Retained (M)152.72169.55180.77
(/) Shares Outstanding (M)139.10139.10139.10
(=) Excess Retained per Share1.101.221.30
LTM Dividend per Share0.190.190.19
(+) Excess Retained per Share1.101.221.30
(=) Adjusted Dividend1.291.411.49
WACC / Discount Rate5.34%5.34%5.34%
Growth Rate-3.60%-2.60%-1.60%
Fair Value$13.91$17.31$21.15
Upside / Downside56.67%94.93%138.17%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)224.40218.56212.87207.33201.93196.68202.58
Payout Ratio11.94%27.55%43.17%58.78%74.39%90.00%92.50%
Projected Dividends (M)26.8060.2291.89121.86150.21177.01187.38

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate5.34%5.34%5.34%
Growth Rate-3.60%-2.60%-1.60%
Year 1 PV (M)56.5857.1757.76
Year 2 PV (M)81.1282.8184.52
Year 3 PV (M)101.08104.25107.50
Year 4 PV (M)117.06122.00127.08
Year 5 PV (M)129.61136.47143.62
PV of Terminal Value (M)5,864.446,175.006,498.58
Equity Value (M)6,349.896,677.707,019.06
Shares Outstanding (M)139.10139.10139.10
Fair Value$45.65$48.01$50.46
Upside / Downside414.07%440.61%468.25%

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