John B Sanfilippo & Son Inc. processes and distributes peanuts and tree nuts in the United States. The company offers raw and processed nuts, including almonds, pecans, peanuts, black walnuts, English walnuts, cashews, macadamia nuts, pistachios, pine nuts, Brazil nuts, and filberts. The company was founded in 1959 and is based in Elgin, Illinois.
JBSS 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 Sanfilippo John B & Son Inc. To summarize, we found that Sanfilippo John B & Son Inc ranked in the 57th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 50.5%. The most interesting components of our discounted cash flow analysis for Sanfilippo John B & Son Inc ended up being:
Interest coverage, a measure of earnings relative to interest payments, is 35.67 -- which is good for besting 93.45% of its peer stocks (US stocks in the Consumer Defensive sector with positive cash flow).
The business' balance sheet suggests that 6% of the company's capital is sourced from debt; this is greater than only 16.46% of the free cash flow producing stocks we're observing.
JBSS's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 45.61% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Sanfilippo John B & Son Inc? See GIS, SJM, KHC, KDP, and UN.
In this article we will check out the progression of hedge fund sentiment towards John B. Sanfilippo & Son, Inc. (NASDAQ:JBSS) and determine whether it is a good investment right now. We at Insider Monkey like to examine what billionaires and hedge funds think of a company before spending days of research on it. Given […]
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MEMPHIS, Tenn., May 6, 2020 /PRNewswire/ -- Ring Container Technologies, a leader in the plastic container manufacturing industry, has partnered with food manufacturer John B. Sanfilippo & Son, Inc. (JBSS) to provide retail consumers with innovative, lightweight recyclable snack foods…