The Descartes Systems Group Inc. (DSGX) Company Bio
Descartes Systems Group provides on-demand, software-as-a-service solutions focused on improving the productivity, performance and security of logistics-intensive businesses. The company was founded in 1981 and is based in Waterloo, Canada.
DSGX 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 Descartes Systems Group Inc. To summarize, we found that Descartes Systems Group Inc ranked in the 26th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Descartes Systems Group Inc, consider:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 100. Its equity weight surpasses that of 94.06% of free cash flow generating stocks in the Technology sector.
The business' balance sheet reveals debt to be 0% of the company's capital (with equity being the remaining amount). Approximately merely 3.29% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
DSGX's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 55.05% of tickers in our DCF set.
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 DSGX, try CYBR, TRMB, TXN, COHR, and HMSY.
WATERLOO, Ontario, Dec. 14, 2020 (GLOBE NEWSWIRE) -- Descartes Systems Group (Nasdaq: DSGX) (TSX:DSG), the global leader in uniting logistics-intensive businesses in commerce, announced that Worldwide Flight Services (WFS), one of the world’s largest air cargo handlers, is offering its airline customers enhanced real-time shipment visibility and cost-efficient unit load device (ULD) asset management solutions by deploying Descartes Core Bluetooth Low Energy (BLE)™ readers across its global cargo operations. Already live at WFS’ airport locations in Paris, London, Brussels, Frankfurt, Madrid, New York and Houston, the Descartes readers will be introduced at other international stations in the company’s network, spanning 175 major airports in 22 countries, to track cargo, parcels and mai...
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