Columbus McKinnon is a designer, manufacturer and marketer of material handling products, systems and services, which efficiently and ergonomically move, lift, position and secure materials. Key products include hoists, cranes, actuators and rigging tools. The company was founded in 1875 and is based in Amherst, New York.
CMCO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CMCO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Columbus Mckinnon Corp ranked in the 76th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Columbus Mckinnon Corp, consider:
The company's compound free cash flow growth rate over the past 5.75 years comes in at 0.32%; that's greater than 70.24% of US stocks we're applying DCF forecasting to.
Columbus Mckinnon Corp's effective tax rate, as measured by taxes paid relative to net income, is at 14 -- greater than 56.22% of US stocks with positive free cash flow.
Relative to other stocks in its sector (Industrials), Columbus Mckinnon Corp has a reliance on debt greater than 52.05% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
OSK, BGSF, MHH, GFN, and AGCO can be thought of as valuation peers to CMCO, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
Here with me are David Wilson, our President and CEO; and Greg Rustowicz, our Chief Financial Officer. Technology has enabled me to actively interact with our team where I have not been able to travel and meet in person.