Ingredion manufactures and sells starches and sweeteners to various industries. It offers sweetener products comprising glucose syrups, high maltose syrups, high fructose corn syrups, caramel colors, dextrose, polyols, maltodextrins and glucose, and syrup solids, as well as food-grade and industrial starches. The company was founded in 1906 and is based in Westchester, Illinois.
INGR Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Ingredion Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Ingredion Inc ranked in the 27th 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. As for the metrics that stood out in our discounted cash flow analysis of Ingredion Inc, consider:
Its compound free cash flow growth rate, as measured over the past 5.56 years, is -0.04% -- higher than just 22.99% of stocks in our DCF forecasting set.
Ingredion Inc's weighted average cost of capital (WACC) is 7%; for context, that number is higher than only 21.31% of tickers in our DCF set.
As a business, Ingredion Inc experienced a tax rate of about 20% over the past twelve months; relative to its sector (Consumer Defensive), this tax rate is higher than 73.83% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
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