Myers Industries manufactures polymer products for industrial, agricultural, automotive, commercial, and consumer markets and also distributes tools, equipment, and supplies for the tire, wheel, and under-vehicle service industry in the U.S. The company was founded in 1933 and is based in Akron, Ohio.
MYE Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Myers Industries Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Myers Industries Inc ranked in the 51th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. The most interesting components of our discounted cash flow analysis for Myers Industries Inc ended up being:
MYE's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 32.27% of tickers in our DCF set.
Myers Industries Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 12.25. This coverage rate is greater than that of 80.84% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Relative to other stocks in its sector (Consumer Cyclical), Myers Industries Inc has a reliance on debt greater than just 13.44% of them.
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 MYE, try LCII, GES, CMCSA, PLNT, and CAL.
Shares of Myers Industries (NYSE:MYE) were flat in pre-market trading after the company reported Q2 results.Quarterly Results Earnings per share fell 14.81% over the past year to $0.23, which beat the estimate of $0.13.Revenue of $118,394,000 declined by 11.83% year over year, which beat the estimate of $107,290,000.Guidance Earnings guidance hasn't been issued by the company for now.Revenue guidance hasn't been issued by the company for now.Conference Call Details Date: Jul 30, 2020View more earnings on MYETime: 08:30 AMET Webcast URL: https://event.on24.com/eventRegistration/EventLobbyServlet?target=reg20.jsp&referrer=http%3A%2F%2Finvestor.myersindustries.com%2Finvestor-relations%2Fevents%2Fdefault.aspx&eventid=2396145&sessionid=1&key=55046B50BBC43EA180F53D78011F23B2®Tag=&s...