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Lindsay Corporation (LNN)

Company Dividend Discount ModelIndustry: Agricultural - MachinerySector: Industrials

Valuation Snapshot

Stable Growth$67.01 - $104.62$84.33
Multi-Stage$88.32 - $96.84$92.50
Blended Fair Value$88.42
Current Price$137.23
Upside-35.57%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2025202420232022202120202019201820172016
DPS2.91%2.12%1.441.421.381.341.301.251.231.191.141.12
YoY Growth--1.86%2.51%3.31%3.06%3.82%2.02%2.84%4.13%2.01%-4.13%
Dividend Yield--1.05%1.07%1.16%0.76%0.89%1.08%1.36%1.18%1.22%1.33%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)74.05
(-) Cash Dividends Paid (M)15.75
(=) Cash Retained (M)58.31
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)14.819.265.55
Cash Retained (M)58.3158.3158.31
(-) Cash Required (M)-14.81-9.26-5.55
(=) Excess Retained (M)43.4949.0552.75
(/) Shares Outstanding (M)10.9210.9210.92
(=) Excess Retained per Share3.984.494.83
LTM Dividend per Share1.441.441.44
(+) Excess Retained per Share3.984.494.83
(=) Adjusted Dividend5.435.936.27
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate0.91%1.91%2.91%
Fair Value$67.01$84.33$104.62
Upside / Downside-51.17%-38.55%-23.77%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)74.0575.4776.9178.3779.8781.3983.84
Payout Ratio21.27%35.01%48.76%62.51%76.25%90.00%92.50%
Projected Dividends (M)15.7526.4237.5048.9960.9073.2577.55

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.08%9.08%9.08%
Growth Rate0.91%1.91%2.91%
Year 1 PV (M)23.9924.2224.46
Year 2 PV (M)30.9031.5232.14
Year 3 PV (M)36.6437.7538.87
Year 4 PV (M)41.3543.0244.73
Year 5 PV (M)45.1547.4449.81
PV of Terminal Value (M)786.19825.92867.25
Equity Value (M)964.231,009.861,057.26
Shares Outstanding (M)10.9210.9210.92
Fair Value$88.32$92.50$96.84
Upside / Downside-35.64%-32.60%-29.43%

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