L Brands Inc. operates as a specialty retailer of womens intimate and other apparel, beauty and personal care products, and accessories. The company operates in three segments: Victorias Secret, Bath & Body Works, and Victoria's Secret and Bath & Body Works International. The company was founded in 1963 and is based in Columbus, Ohio.
LB Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for L Brands Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that L Brands Inc ranked in the 24th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 59.67%. As for the metrics that stood out in our discounted cash flow analysis of L Brands Inc, consider:
The company's compound free cash flow growth rate over the past 5.46 years comes in at -0.01%; that's greater than merely 24.15% of US stocks we're applying DCF forecasting to.
The company has produced more trailing twelve month cash flow than 87.28% of its sector Consumer Cyclical.
L Brands Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 0% 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 L Brands Inc? See NTZ, WMG, BBW, BXG, and RICK.
On Monday, shares of L Brands (NYSE: LB) saw unusual options activity. After the option alert, the stock price moved down to $28.73. * Sentiment: BULLISH * Option Type: SWEEP * Trade Type: CALL * Expiration Date: 2020-10-23 * Strike Price: $29.00 * Volume: 400 * Open Interest: 25Three Ways Options Activity Is 'Unusual'One way options activity can be considered unusual is when volume is exceptionally high. The volume of options activity refers to the number of shares contracts traded for a day. Unsettled contracts that have been traded, but not yet closed, are called open interest. These contracts are not closed because a buyer has not purchased a contract, or a seller has not sold it.A contract with an expiration date in the distant future is another tell of unusual activ...
L Brands (LB) upsizes its previously announced offering to sell $750M aggregate principal amount of senior notes due 2030 to an aggregate principal amount of $1B.It is priced with a coupon of 6.625% in a private placement offering to eligible purchasers. These are senior unsecured obligations.Expected to close on September 30,...