Ansys Inc. develops and markets engineering simulation software and services used by engineers, designers, researchers, and students in the aerospace, automotive, materials and chemical processing, turbo machinery, consumer products, electronics, biomedical, energy, and defense and other industries, as well as academia worldwide. The company was founded in 1970 and is based in Canonsburg, Pennsylvania.
ANSS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Ansys Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Ansys Inc ranked in the 15th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Ansys Inc ended up being:
Interest coverage, a measure of earnings relative to interest payments, is 44.33 -- which is good for besting 89.15% of its peer stocks (US stocks in the Technology sector with positive cash flow).
The business' balance sheet suggests that 2% of the company's capital is sourced from debt; this is greater than merely 7.97% of the free cash flow producing stocks we're observing.
ANSS's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 50.05% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
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PITTSBURGH, Sept. 29, 2020 /PRNewswire/ -- Key Highlights Compal Electronics adopted Ansys automated simulation and analysis solutions to reduce data processing time from weeks to days Ansys enables Compal Electronics to design and simulate high-frequency electronics, enhancing product…
PITTSBURGH, Sept. 22, 2020 /PRNewswire/ -- Key Highlights The University of Texas at Arlington (UTA) and Ansys are providing a cutting-edge design and analysis workflow for validating system models in the U.S. government's current and next-generation hypersonic vehicles The workflow will…
ANSYS (Ansys) (ANSS) is an industry leader (arguably the leader) in simulation software across a wide variety of engineering applications - from automotive to aerospace, to oil & gas, and from fluid-dynamics to electromagnetics to finite element analysis. During the most recent quarter, the company announced a number of large...
Michael Fitzsimmons on Seeking Alpha | September 14, 2020
US technology company Ansys is investing in the high skills of Greek scientists, some 18 months after the buyout of Greek firm Helic, by expanding its research and development center in Athens and creating more jobs locally.