The Chemours Company is a global leader in titanium technologies, fluoroproducts and chemical solutions. Chemours ingredients are found in plastics and coatings, refrigeration and air conditioning, mining and oil refining operations and general industrial manufacturing. The company was founded in 2015 and is based in Wilmington, Delaware.
CC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Chemours Co ranked in the 20th 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. As for the metrics that stood out in our discounted cash flow analysis of Chemours Co, consider:
The company's balance sheet shows it gets 26% of its capital from equity, and 74% of its capital from debt. Its equity weight surpasses that of merely 13.27% of free cash flow generating stocks in the Basic Materials sector.
Chemours Co's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% of US stocks with positive free cash flow.
Chemours Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 0.4. This coverage rate is greater than that of just 20.39% 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
GRA, SMTS, TORM, AWI, and BCPC can be thought of as valuation peers to CC, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.