Franklin Electric Company engages in the production and marketing of systems and components for the movement of water and automotive fuels. The company serves customers around the world in residential, commercial, agricultural, industrial, municipal, and fueling applications. The company was founded in 1944 and is based in Fort Wayne, Indiana.
FELE Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for FELE, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Franklin Electric Co Inc ranked in the 87th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Franklin Electric Co Inc, consider:
The compound growth rate in the free cash flow of Franklin Electric Co Inc over the past 5.75 years is 0.83%; that's higher than 90.16% of free cash flow generating stocks in the Industrials sector.
The business' balance sheet suggests that 4% of the company's capital is sourced from debt; this is greater than just 13.65% of the free cash flow producing stocks we're observing.
FELE's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 45.89% of tickers in our DCF set.
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 Franklin Electric Co Inc? See MYRG, ARC, SGRP, SFL, and GRAM.