Cemex, S.A.B. de C.V. Sponsored ADR (CX) Company Bio
Cemex produces, markets, distributes, and sells cement, ready-mix concrete, aggregates, and other construction materials in Mexico, the United States, Northern Europe, the Mediterranean, South America, the Caribbean, and Asia. The company was founded in 1906 and is based in San Pedro Garza García, Mexico.
CX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Cemex Sab De Cv with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Cemex Sab De Cv ranked in the 8th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for CX, they are:
The company has produced more trailing twelve month cash flow than 79.73% of its sector Basic Materials.
95% of the company's capital comes from equity, which is greater than 84.02% of stocks in our cash flow based forecasting set.
The business' balance sheet reveals debt to be 5% of the company's capital (with equity being the remaining amount). Approximately merely 15.95% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CMCL, RYAM, AG, CENX, and ASH can be thought of as valuation peers to CX, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.
Cemex ([[CX]] +1.9%) extends its recent run higher as Goldman Sachs upgrades shares to Buy from Neutral with a $5.10 price target, believing the company's cost control initiatives will see EBITDA fall by "just 2%" in FY 2020 and rise by 8% in FY 2021.Goldman's Bruno Amorim also cites "healthy...