Conduent Incorporated provides business process services for healthcare, public sector, and commercial industries in the United States. The Company offers customers in various areas, which include health solutions, learning services, digital payments, legal and compliance solutions, human resources, finance and accounting, procurement solutions and digital transformation. The company is based in Basking Ridge, New Jersey.
CNDT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CNDT, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that CONDUENT Inc ranked in the 8th 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 CONDUENT Inc, consider:
Interest coverage, a measure of earnings relative to interest payments, is -9.91 -- which is good for besting only 10.09% of its peer stocks (US stocks in the Technology sector with positive cash flow).
Its compound free cash flow growth rate, as measured over the past 4.11 years, is -0.26% -- higher than merely 5.39% of stocks in our DCF forecasting set.
29% of the company's capital comes from equity, which is greater than merely 12.54% of stocks in our cash flow based forecasting set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
INTZ, KLIC, SATS, CLRO, and ITRI can be thought of as valuation peers to CNDT, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
Introduction and history Conduent (CNDT) is a global BPO (Business process outsourcing) company, with expertise in transaction-intensive processing, automation, and analytics. With annual revenues of c.$4.4 billion, it is estimated to have a market share of c.2.2% of the +$200 billion valued global BPO market. The company reports under three...
The Alpha Sieve on Seeking Alpha | September 23, 2020
Conduent (CNDT) and Servicing Solutions selects Conduent’s Loan Manager loan servicing application services.Conduent currently manages more than $120B in consumer loan assets.“There is a significant growth opportunity in loan servicing for companies that can provide a differentiated, high quality customer experience,” said Louis Ochoa, president and CEO of Servicing Solutions. Press Release...
NEW YORK, Aug. 7, 2020 /PRNewswire/ -- InvestorsObserver issues critical PriceWatch Alerts for BNGO, CNDT, OPGN, UBER, and MGM. To see how InvestorsObserver's proprietary scoring system rates these stocks, view the InvestorsObserver's PriceWatch Alert by selecting the corresponding link….