Camtek Ltd. designs, develops, manufactures, and markets automated optical inspection (AOI) systems and functional ink technology (FIT) products. It operates in two segments, Microelectronics and Printed Circuit Boards. The company was founded in 1987 and is based in Migdal Haemek, Israel.
CAMT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Camtek Ltd with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Camtek Ltd ranked in the 63th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 150% on a DCF basis. The most interesting components of our discounted cash flow analysis for Camtek Ltd ended up being:
Interest coverage, a measure of earnings relative to interest payments, is -28.88 -- which is good for besting merely 4.12% of its peer stocks (US stocks in the Technology sector with positive cash flow).
The business' balance sheet reveals debt to be 0% of the company's capital (with equity being the remaining amount). Approximately merely 0% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as CAMT, try ENTG, PERI, FIVN, QLYS, and SVMK.