CommScope Holding Company, Inc. (COMM) Company Bio
Commscope provides connectivity and infrastructure solutions for wireless, business enterprise, and residential broadband networks worldwide. The company operates through three segments: Wireless, Enterprise, and Broadband. The company was founded in 1976 and is based in Hickory, North Carolina.
COMM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for CommScope Holding Company Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that CommScope Holding Company Inc ranked in the 73th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 325%. In terms of the factors that were most noteworthy in this DCF analysis for COMM, they are:
15% of the company's capital comes from equity, which is greater than just 6.01% of stocks in our cash flow based forecasting set.
CommScope Holding Company Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -1.03. This coverage rate is greater than that of just 20.02% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 17. This value is greater than 99.2% stocks in the Technology sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as COMM, try IPHI, RP, PLAB, SSNC, and EGAN.
Written by Nick Ackerman, co-produced by Stanford Chemist KKR Income Opportunities Fund (KIO) is a fund that invests primarily in leveraged loans and high-yield securities, both of which generally carry a junk rating. Specifically, over 27% of the portfolio is listed as being CCC+. This is only a couple of...
Nick Ackerman on Seeking Alpha | September 28, 2020
Mediacom Communications has chosen CommScope (COMM -1.7%) to power a 10G smart home trial. CommScope's end-to-end connectivity solutions will be implemented in the trial by Mediacom (in partnership with CableLabs and the Internet & Television Association) designed to test cutting-edge applications in real-world conditions. Targeted in the trial are support...
CommScope, a global leader in infrastructure solutions for communications networks, today announced that Mediacom Communications selected its portfolio of end-to-end connectivity solutions to power the ultrafast broadband network in its milestone 10G trial.