Brunswick Corporation manufactures recreation products, like boats, boat engines, and fitness and billiards products. The company was founded in 1845 and is based in Lake Forest, Illinois.
BC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for BC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Brunswick Corp ranked in the 57th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 15.17%. As for the metrics that stood out in our discounted cash flow analysis of Brunswick Corp, consider:
Brunswick Corp's effective tax rate, as measured by taxes paid relative to net income, is at 76 -- greater than 97.13% of US stocks with positive free cash flow.
Brunswick Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 0.33. This coverage rate is greater than that of just 20.6% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Relative to other stocks in its sector (Consumer Cyclical), Brunswick Corp has a reliance on debt greater than just 23.88% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Brunswick Corp? See BURL, BDL, RICK, PII, and RH.