Gates Industrial Corporation plc Ordinary Shares (GTES) Company Bio
Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. Its power transmission products include synchronous belts, V-belts, CVT belts, or micro-V belts, as well as related components, including sprockets, pulleys, water pumps, tensioners, or other accessories. The company’s power transmission product applications comprise stationary drives, mobile drives, engine systems, personal mobility products, and vertical lifts. Its fluid power products consist of hydraulic hoses and assemblies, hydraulic couplings, hydraulic tubing products, industrial hoses and assemblies, and engine hoses. The company’s fluid power products are used in stationary hydraulics, mobile hydraulics, engine systems, and other industrial applications. It serves various end markets, such as construction, agriculture, energy, automotive, transportation, general industrial, consumer products, and others. The company sells its engineered products under the Gates brand. It offers its products to replacement channel customers, as well as to original equipment manufacturers as specified components. The company was founded in 1911 and is based in Denver, Colorado
GTES 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 Gates Industrial Corp plc. To summarize, we found that Gates Industrial Corp plc ranked in the 38th 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 Gates Industrial Corp plc, consider:
The company's balance sheet shows it gets 41% of its capital from equity, and 59% of its capital from debt. Notably, its equity weight is greater than merely 23.65% of US equities in the Industrials sector yielding a positive free cash flow.
The company's compound free cash flow growth rate over the past 2.11 years comes in at -0.06%; that's greater than only 20.46% of US stocks we're applying DCF forecasting to.
Gates Industrial Corp plc's effective tax rate, as measured by taxes paid relative to net income, is at 345 -- greater than 99.4% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as GTES, try HLIO, PKOH, SWK, VIDE, and ROLL.