AudioCodes Ltd. - Ordinary Shares (AUDC) Company Bio
AudioCodes Ltd. designs, develops, and sells voice over IP, (VoIP), converged VoIP, and data networking products and applications to service providers and enterprises worldwide. The company was founded in 1992 and is based in Lod, Israel.
AUDC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Audiocodes Ltd with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Audiocodes Ltd ranked in the 51th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 54% on a DCF basis. The most interesting components of our discounted cash flow analysis for Audiocodes Ltd ended up being:
The company has produced more trailing twelve month cash flow than merely 20.68% of its sector Technology.
The business' balance sheet reveals debt to be 5% of the company's capital (with equity being the remaining amount). Approximately only 12.02% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Audiocodes Ltd's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -5.43. This coverage rate is greater than that of merely 6.19% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
JCS, ST, ADI, BOX, and CDK can be thought of as valuation peers to AUDC, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.