TechnipFMC designs, manufactures, and services technological systems and products for customers in the energy industry worldwide. It operates through Subsea Technologies, Surface Technologies, and Energy Infrastructure segments. The company was founded in 2000 and is based in Houston, Texas.
FTI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for TechnipFMC plc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that TechnipFMC plc 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 TechnipFMC plc ended up being:
51% of the company's capital comes from equity, which is greater than only 20.83% of stocks in our cash flow based forecasting set.
TechnipFMC plc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -10.72. This coverage rate is greater than that of only 7.77% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, TechnipFMC plc experienced a tax rate of about 0% over the past twelve months; relative to its sector (Energy), this tax rate is higher than just 0% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Energy that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as FTI, try RDS.A, CHKAQ, HFC, TGA, and PUMP.
LONDON & PARIS & HOUSTON--(BUSINESS WIRE)--Regulatory News: TechnipFMC plc (“TechnipFMC”) (NYSE: FTI) (Paris: FTI) (ISIN: GB00BDSFG982) announces that on 19 January 2021, its wholly owned subsidiary, Technip Energies B.V. (“Technip Energies”), filed a Registration Statement on Form F-1 (“Form F-1”) under the U.S. Securities Act of 1933, as amended, with the U.S. Securities and Exchange Commission (“SEC”). The Form F-1 relates to TechnipFMC’s previously announced separation into two industry-lea
LONDON & PARIS & HOUSTON--(BUSINESS WIRE)--Regulatory News: TechnipFMC plc (“TechnipFMC”) (NYSE: FTI) (Paris: FTI) (ISIN: GB00BDSFG982) announces that on 19 January 2021, it filed a Current Report on Form 8-K (the “Form 8-K”) under the U.S. Securities Exchange Act of 1934, as amended, with the U.S. Securities and Exchange Commission (the “SEC”) disclosing that certain information contained in the confidential preliminary offering memorandum dated January 19, 2021 (the “Offering Memorandum”) to