CBIZ Inc. provides professional business services, products, and solutions in the United States and Canada. It offers its services through three practice groups: Financial Services, Employee Services, and National Practices. The company was founded in 1987 and is based in Cleveland, Ohio.
CBZ Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for CBIZ Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that CBIZ Inc ranked in the 65th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. The most interesting components of our discounted cash flow analysis for CBIZ Inc ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is 19.66; that's higher than 87.44% of US stocks in the Industrials sector that have positive free cash flow.
CBIZ Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than just 22.52% of tickers in our DCF set.
CBZ's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than just 22.52% of tickers in our DCF set.
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 CBIZ Inc? See HI, MSM, NPO, IR, and PAC.
CBIZ (CBZ) buys Middle Market Advisory Group ((MMA)) from Richey May & Co. of Englewood, CO, effective Jan. 1, 2021.MMA provides tax compliance and consulting services to middle market companies and family groups in the real estate, automotive, technology and SAAS, construction, and manufacturing industries.MMA has 26 employees and ~$3.6M...
The CBIZ Small Business Employment Index ("SBEI") reported growth in December, closing out 2020 with a seasonally adjusted increase of 0.32%. While the small business sector has grappled with another surge in COVID-19 cases, analysts are looking toward consumer sentiment and optimism stemming from vaccine efforts to reinforce economic recovery in 2021. The CBIZ SBEI tracks payroll and hiring trends for over 3,500 companies that have 300 or fewer employees, providing broad insight into small business trends.
CBIZ, Inc. (NYSE: CBZ) ("the Company"), a leading provider of financial, insurance and advisory services, announced the acquisition of Borden Perlman Insurance Agency, Inc. ("BP") of Ewing, NJ, effective December 31, 2020.