LB Foster manufactures, fabricates, and distributes products and services for the rail, construction, energy, and utility markets worldwide. The company was founded in 1902 and is based in Pittsburgh, Pennsylvania.
FSTR 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 Foster L B Co. To summarize, we found that Foster L B Co ranked in the 53th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 26.67% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for FSTR, they are:
Its compound free cash flow growth rate, as measured over the past 5.51 years, is -0.09% -- higher than only 17.69% of stocks in our DCF forecasting set.
The company has produced more trailing twelve month cash flow than merely 22.6% of its sector Industrials.
Foster L B Co's weighted average cost of capital (WACC) is 7%; for context, that number is higher than only 17.95% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
INFO, LSTR, BRC, AOS, and SNA can be thought of as valuation peers to FSTR, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
Insider Monkey has processed numerous 13F filings of hedge funds and successful value investors to create an extensive database of hedge fund holdings. The 13F filings show the hedge funds' and successful investors' positions as of the end of the first quarter. You can find articles about an individual hedge fund's trades on numerous financial […]
L.B. Foster (FSTR +6.5%) says in a filing that its chief financial officer, James Maloney, is resigning. Maloney informed the company of his intent to resign effective July 13. Controller and Principal Accounting Officer James Kempton will perform as interim CFO until a permanent replacement is named, the company says....
Investment Thesis L.B. Foster (FSTR) is an asset-light and in most years it is a profitable company. And it's cheaply valued at just 5x trailing free cash flow. However, Foster's Tubular and Energy division had up until now been a very strong business unit in Foster's diversified operations. But given...
Michael Wiggins De Oliveira on Seeking Alpha | June 24, 2020