With a year-over-year growth in debt of -64.27%, Compass Diversified Holdings's debt growth rate surpasses only 3.99% of about US stocks.
Over the past twelve months, CODI has reported earnings growth of 564.31%, putting it ahead of 97.46% of US stocks in our set.
Compass Diversified Holdings's shareholder yield -- a measure of how much capital is returned to stockholders via dividends and buybacks -- is 105.34%, greater than the shareholder yield of 95.35% of stocks in our set.
Stocks that are quantitatively similar to CODI, based on their financial statements, market capitalization, and price volatility, are UEPS, BH, FLL, SPLP, and RDN.
Compass Diversified Holdings Shares of Beneficial Interest (CODI) Company Bio
Compass Diversified Holdings is a private equity firm specializing in acquisitions, buyouts, and middle market investments. The company was founded in 2005 and is based in Westport, Connecticut.
CODI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CODI, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Compass Diversified Holdings ranked in the 35th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 18.33%. In terms of the factors that were most noteworthy in this DCF analysis for CODI, they are:
Compass Diversified Holdings's weighted average cost of capital (WACC) is 6%; for context, that number is higher than only 18.16% of tickers in our DCF set.
Compass Diversified Holdings's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 6.44. This coverage rate is greater than that of 60.91% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, Compass Diversified Holdings experienced a tax rate of about 4% over the past twelve months; relative to its sector (Industrials), this tax rate is higher than just 20.39% of stocks generating free cash flow.
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 Compass Diversified Holdings? See FLS, INFO, LMT, CAT, and LII.