Mohawk Industries, Inc. designs, manufactures, sources, distributes, and markets flooring products for residential and commercial applications for remodeling and new constructions worldwide. It operates in three segments: Carpet, Ceramic, and Laminate and Wood. The company was founded in 1988 and is based in Calhoun, Georgia.
MHK 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 Mohawk Industries Inc. To summarize, we found that Mohawk Industries Inc ranked in the 92th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 3612.33%. The most interesting components of our discounted cash flow analysis for Mohawk Industries Inc ended up being:
Mohawk Industries Inc's weighted average cost of capital (WACC) is 6%; for context, that number is higher than only 10.43% of tickers in our DCF set.
Mohawk Industries Inc's effective tax rate, as measured by taxes paid relative to net income, is at 1 -- greater than merely 23.89% of US stocks with positive free cash flow.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than merely 0% of stocks in its sector (Consumer Cyclical).
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 Mohawk Industries Inc? See WINA, EYE, SCVL, GCO, and MIK.