Compass Minerals International produces and markets salt, sulfate of potash specialty fertilizer (SOP), plant micronutrients, and magnesium chloride primarily in North America and the United Kingdom. The company was founded in 1993 and is based in Overland Park, Kansas.
CMP Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Compass Minerals International Inc. To summarize, we found that Compass Minerals International Inc ranked in the 55th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 26.17% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for CMP, they are:
The company has produced more trailing twelve month cash flow than 49.76% of its sector Basic Materials.
The business' balance sheet reveals debt to be 43% of the company's capital (with equity being the remaining amount). Approximately 65.51% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
CMP's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 5%; for context, that number is higher than 30.3% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Basic Materials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as CMP, try IOSP, RGLD, ROCK, VMC, and ESI.
Compass Minerals (NYSE: CMP), a leading global essential minerals company, announced today that president and CEO Kevin S. Crutchfield will be hosting virtual one-on-one investor meetings at the 2020 Stifel Cross Sector Insight Conference on June 9. The investor presentation used during these meetings will be available concurrently at investors.compassminerals.com.
The board of directors of Compass Minerals (NYSE: CMP), a leading global essential minerals company, has declared a quarterly cash dividend of $0.72 per share, marking the 66th consecutive quarter the company has paid a dividend to its shareholders. This dividend is payable June 15, 2020, to shareholders of record as of the close of business on June 1, 2020.