Moneygram International provides money transfer and payment services in the United States and internationally. The company was founded in 1926 and is based in Dallas, Texas.
MGI 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 Moneygram International Inc. To summarize, we found that Moneygram International Inc ranked in the 22th 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 Moneygram International Inc ended up being:
Interest coverage, a measure of earnings relative to interest payments, is 0.85; that's higher than merely 21.94% of US stocks in the Financial Services sector that have positive free cash flow.
The company's compound free cash flow growth rate over the past 4.25 years comes in at -0.01%; that's greater than only 23.63% of US stocks we're applying DCF forecasting to.
41% of the company's capital comes from equity, which is greater than only 16.72% of stocks in our cash flow based forecasting set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
VOYA, AMK, TRUP, NMFC, and MA can be thought of as valuation peers to MGI, in the sense that they are in the Financial Services sector and have a similar price forecast based on DCF valuation.
DALLAS, Sept. 17, 2020 /PRNewswire/ -- MoneyGram International, Inc. (NASDAQ: MGI), a global leader in cross-border P2P payments and money transfers, today announced 162% August year-over-year cross-border transaction growth for MoneyGram Online, its direct-to-consumer digital business….
Despite showing poor performance in the last few years, there’s every reason to believe that MoneyGram’s (MGI) worst days are behind it, as the growth of the company’s digital business helped to offset some of the losses of the walk-in channels in recent quarters. In addition, the ongoing expansion of...
Aleksey Razdolgin on Seeking Alpha | September 14, 2020
MoneyGram (MGI) expands digital network and mobile wallet capability by integrating with global payment network, Thunes.Thunes is a B2B cross-border payments network that enables corporates and financial institutions to move funds and provide financial services in emerging markets.The partnership will enable MGI's customers to send money directly to mobile wallets...