MasterCraft Boat Holdings, Inc. (MCFT) Company Bio
MCBC Holdings Inc. is a designer, manufacturer, and marketer of MasterCraft brand premium performance sport boats. The company was founded in 1968 and is based in Vonore, Tennessee.
MCFT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for MasterCraft Boat Holdings Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that MasterCraft Boat Holdings Inc ranked in the 31th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. The most interesting components of our discounted cash flow analysis for MasterCraft Boat Holdings Inc ended up being:
MasterCraft Boat Holdings Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -6.67. This coverage rate is greater than that of merely 8.31% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, MasterCraft Boat Holdings Inc experienced a tax rate of about 21% over the past twelve months; relative to its sector (Consumer Cyclical), this tax rate is higher than 85.8% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as MCFT, try BBX, NIU, ORLY, INTG, and INWK.
Shares of MasterCraft Boat Holdings Inc. surged 5.3% toward a 2-month high in premarket trading Monday, after the boat maker and seller was upgraded at B. Riley FBR, which cited improving demand and a much better dealer inventory position than expected in light of the COVID-19 pandemic. Analyst Eric Wold raised his rating to buy, after being at neutral since December 2018, and boosted his price target to $16 from $10. Wold said his checks indicate that retail demand for the boating industry has been strengthening week to week into the Memorial Day weekend, and he expects the summer selling season will show a significant improvement over last year. "Furthermore, we expect [MasterCraft] to benefit from improving demand for boating by families choosing to stay closer to home--which c...
MasterCraft Boat Company, a MasterCraft Boat Holdings, Inc.’s subsidiary (MCFT) again proved its position as the top innovator in the towboat category with its new X26 model. Announced this week online, Boating Industry honored MasterCraft with its Top Product Award for 2020.
MasterCraft Boat Holdings, Inc. (MCFT) delivered earnings and revenue surprises of -11.54% and -2.65%, respectively, for the quarter ended March 2020. Do the numbers hold clues to what lies ahead for the stock?