Korn/Ferry International provides talent management solutions that help clients to design strategies and in the execution of building and attracting their talent worldwide. It operates through three segments: Executive Recruitment, Leadership & Talent Consulting (LTC), and Futurestep. The company was founded in 1969 and is based in Los Angeles, California.
KFY 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 Korn Ferry. To summarize, we found that Korn Ferry ranked in the 66th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 148.33% on a DCF basis. The most interesting components of our discounted cash flow analysis for Korn Ferry ended up being:
As a business, KFY is generating more cash flow than 57.85% of positive cash flow stocks in the Industrials.
Korn Ferry's weighted average cost of capital (WACC) is 8%; for context, that number is higher than only 23.21% of tickers in our DCF set.
Korn Ferry's effective tax rate, as measured by taxes paid relative to net income, is at 21 -- greater than 82.85% of US stocks with positive free cash flow.
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 Korn Ferry? See AEGN, GFF, HUBG, HNI, and CLH.
Korn Ferry (NYSE: KFY) today announced Cheryl D'Cruz-Young has joined the firm as senior client partner in the Chief Procurement Officer center of expertise, focusing on digital transformation and diversity and inclusion. She is based in the firm’s New York office.
Upgrades * For Korn Ferry (NYSE: KFY), Sidoti & Co. upgraded the stock from Neutral to Buy. For the fourth quarter, Korn Ferry had an EPS of $0.60, compared to year-ago quarter EPS of $0.88. The stock has a 52-week-high of $43.99 and a 52-week-low of $21.45. Korn Ferry's stock last closed at $29.64 per share. * Wedbush changed the rating for Cognizant Technology Solutions Corp (NASDAQ: CTSH) from Neutral to Outperform. In the first quarter, Cognizant Tech Solns showed an EPS of $0.96, compared to $0.91 from the year-ago quarter. The stock has a 52-week-high of $71.48 and a 52-week-low of $40.01. Cognizant Tech Solns's stock last closed at $59.67 per share. * Morgan Stanley upgraded the stock for Dell Technologies Inc (NYSE: DELL) from Equal-Weight to Overweight. Dell Technol...
A new Korn Ferry (NYSE: KFY) book, Leadership U: Accelerating Through the Crisis Curve, authored by CEO Gary Burnison, shares emotional stories and actionable advice as leaders strive to connect, motivate, and activate their teams amid unprecedented challenges and change—a pandemic, economic turmoil, and calls for long-overdue social action and greater inclusion.