EnPro Industries is a leader in sealing products, metal polymer and filament wound bearings, components and service for reciprocating compressors, diesel and dual-fuel engines and other engineered products for use in critical applications by industries worldwide. The company was founded in 2002 and is based in Charlotte, North Carolina.
NPO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for NPO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Enpro Industries Inc ranked in the 64th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 77.33% on a DCF basis. The most interesting components of our discounted cash flow analysis for Enpro Industries Inc ended up being:
Interest coverage, a measure of earnings relative to interest payments, is 10.59; that's higher than 76.17% of US stocks in the Industrials sector that have positive free cash flow.
Enpro Industries Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than merely 13.68% of tickers in our DCF set.
Enpro Industries 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
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as NPO, try HI, MSM, MLI, PAC, and SNA.
Stanley Black (SWK) is poised to gain from solid product offerings, cost-reduction measures and surging e-commerce businesses. Also, healthy liquidity, gain from buyouts and shareholder-friendly policies are favorable.