Culp Inc. markets mattress fabrics for bedding and upholstery fabrics for furniture, including a variety of innovative fabrics to its global customer base of leading bedding and furniture companies. The company was founded in 1972 and is based in High Point, North Carolina.
CULP 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 Culp Inc. To summarize, we found that Culp Inc ranked in the 17th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. The most interesting components of our discounted cash flow analysis for Culp Inc ended up being:
Interest coverage, a measure of earnings relative to interest payments, is -180.14; that's higher than merely 2.39% of US stocks in the Consumer Cyclical sector that have positive free cash flow.
The business' balance sheet suggests that 4% of the company's capital is sourced from debt; this is greater than only 12.86% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ARD, EVC, KIRK, RUTH, and OXM can be thought of as valuation peers to CULP, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Culp, Inc. (CULP) Q1 2021 Results Conference Call September 3, 2020 11:00 AM ET Company Participants Dru Anderson - Investor Relations Iv Culp - Chief Executive Officer Ken Bowling - Chief Financial Officer Boyd Chumbley - President, Upholstery Fabrics Business Conference Call Participants Bobby Griffin - Raymond James Marco Rodriguez...
SA Transcripts on Seeking Alpha | September 3, 2020
Apparently, investors went into mattress and upholstery fabrics manufacturer Culp Inc.'s (CULP) Q4/FY2020 earnings release with high hopes as the stock closed Wednesday's regular session at its highest level since late February, up 16.1% for the day on 4x average trading volume. Unfortunately, results came in well below consensus estimates...
Culp, Inc. (NYSE: CULP) today reported financial and operating results for the fourth quarter and fiscal year ended May 3, 2020, which were severely affected by the coronavirus ("COVID-19") pandemic and included non-cash asset impairment charges in connection with the related business disruption. Also, in support of a comprehensive liquidity focus, Culp sold its majority interest in eLuxury, LLC ("eLuxury") on March 31, 2020, resulting in the elimination of the company’s home accessories segment. Accordingly, the financial results for this segment are excluded from the reported financial performance of the company’s continuing operations for the fourth quarter and fiscal 2020 year (and for all prior periods of comparison) and presented as a discontinued operation in ...