Campbell Soup Company manufactures and markets convenience food products. It operates through U.S. Simple Meals; Global Baking and Snacking; International Simple Meals and Beverages; U.S. Beverages; and Bolthouse and Foodservice segments. The company was founded in 1869 and is based in Camden, New Jersey.
CPB Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Campbell Soup Co with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Campbell Soup Co ranked in the 40th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 8.67%. The most interesting components of our discounted cash flow analysis for Campbell Soup Co ended up being:
Campbell Soup Co's weighted average cost of capital (WACC) is 7%; for context, that number is higher than only 19.11% of tickers in our DCF set.
As a business, Campbell Soup Co experienced a tax rate of about 5% over the past twelve months; relative to its sector (Consumer Defensive), this tax rate is higher than only 17.62% 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 Campbell Soup Co? See KR, PM, USNA, LFVN, and HMHC.