Macy's, Inc. (M) Simple Excess Return Model - Discounting Cash Flows
Macy's, Inc.
M (NYSE)

Estimated Value

USD

Market Price USD

* Values are not guaranteed, please do your own
research before making investment decisions.

Simple Excess Return Model

Used to estimate the value of companies that have reached maturity and earn stable excess returns with little to no high growth chance. Excess Return models are better suited to calculate the intrinsic value of a financial company than an enterprise valuation model (such as the Discounted Free Cash Flow Model).

See our GitHub Documentation

Interactive Assumptions

Results

Estimated Value 20.21 USD
Book value of equity invested 16.03 USD
Next year's estimated book value 16.88 USD
Present value of future excess returns 4.18 USD
Excess Return per share 0.319 USD
Cost of Equity (the discount rate) 11.89%
Average historical Return on Equity 13.86%
Average historical Payout Ratio 48.3%
Payout Ratio used 69.26%
Risk Free Rate of the 10 Year U.S. Treasury Note 4.26%

Historical and Forecasted Data

In USD

amounts of USD except for #

2024 LTM 2025 2026 2027 2028 2029
Beginning Book Value 15.09 16.19 16.19 16.88 17.6 18.35 19.13
Ending Book Value 16.19 16.03 16.88 17.6 18.35 19.13 19.95
EPS 2.1 2.01 2.24 2.34 2.44 2.54 2.65
Return on Equity 14.07% 12.26% 13.86% 13.86% 13.86% 13.86% 13.86%
Dividend per Share 0.695 0.712 1.55 1.62 1.69 1.76 1.84
Retained Earnings 1.41 1.3 0.69 0.719 0.75 0.782 0.815
Equity Cost per Share 1.79 1.93 1.93 2.01 2.09 2.18 2.27
Cost of Equity 11.89% 11.89% 11.89% 11.89% 11.89% 11.89% 11.89%
Excess Return 0.306 0.085 0.319 0.333 0.347 0.361 0.377

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Net Income 432.2 558 582 45 1,146 1,430 -3,944 564 1,108 1,566 627 1,072
Total Equity 4,587 4,451 4,552 4,137 4,082 3,621 2,553 6,377 6,436 5,673 4,323 4,250
Return on Equity 13.86% 12.26% 14.07% 1.1% 31.65% 56.01% -61.85% 8.76% 19.53% 36.22% 14.75% 19.93%
Dividends Paid to Common Shareholders 297 197.7 195.4 181.5 173.1 92.04 117.6 467.6 464.6 461.2 459.7 456.5
Payout Ratio 48.3% 35.42% 33.1% 174.2% 14.72% 6.44% -2.98% 82.97% 41.94% 29.43% 73.4% 42.64%
Shares Outstanding 298.7 277.6 281.2 274.2 274.7 306.8 311.1 309.7 307.7 305.4 308.5 328.4
EPS 1.51 2.01 2.1 0.38 4.28 4.66 -12.68 1.82 3.6 5.13 2.03 3.26
Dividend per Share 0.981 0.712 0.695 0.662 0.63 0.3 0.378 1.51 1.51 1.51 1.49 1.39
Book Value 15.38 16.03 16.19 15.09 14.86 11.8 8.21 20.59 20.92 18.58 14.01 12.94
discounting cash flows home logo

Discounting Cash Flows

Are you finding our services helpful? Review us on trustpilot logo Trustpilot
Have a question? Contact us