Hurco Companies, Inc. designs, manufactures, and sells computerized machine tools to companies in the metal cutting industry worldwide. The company was founded in 1968 and is based in Indianapolis, Indiana.
HURC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Hurco Companies Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Hurco Companies Inc ranked in the 14th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. In terms of the factors that were most noteworthy in this DCF analysis for HURC, they are:
Its compound free cash flow growth rate, as measured over the past 5.6 years, is -0.14% -- higher than merely 10.95% of stocks in our DCF forecasting set.
Relative to other stocks in its sector (Industrials), Hurco Companies Inc has a reliance on debt greater than only 13.07% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ABB, ATRO, DCO, DESP, and EFX can be thought of as valuation peers to HURC, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
When I last wrote on Hurco (HURC), I said that, "trying to call a bottom in the machine tool space is a good way to look foolish", and so it proved to be, as the rebound I expected in the fiscal fourth quarter (ended October 31) didn't really materialize -...
Stephen Simpson on Seeking Alpha | January 19, 2021
INDIANAPOLIS, Jan. 08, 2021 (GLOBE NEWSWIRE) -- Hurco Companies, Inc. (Nasdaq: HURC) today reported results for the fourth fiscal quarter and fiscal year ended October 31, 2020. Hurco recorded a net loss of $3,589,000, or $(0.54) per diluted share, for the fourth quarter of fiscal 2020, compared to net income of $2,098,000, or $0.31 per diluted share, for the corresponding period in fiscal 2019. For fiscal 2020, Hurco reported a net loss of $6,247,000, or $(0.93) per diluted share, compared to net income of $17,495,000, or $2.55 per diluted share, for fiscal 2019. The net loss for the fourth quarter and fiscal 2020 included a one-time, non-cash goodwill impairment charge of $4,903,000. Excluding the impact of this one-time charge, earnings per diluted share would have been $0.70 and $0....
Many prominent investors, including Warren Buffett, David Tepper and Stan Druckenmiller, have been cautious regarding the current bull market and missed out as the stock market reached another high in recent weeks. On the other hand, technology hedge funds weren’t timid and registered double digit market beating gains. Financials, energy and industrial stocks aren’t doing […]