PFSweb Inc. is a global provider of end-to-end eCommerce solutions including digital agency and marketing services, technology development services, business process outsourcing services and a complete omni-channel technology ecosystem. The company was founded in 1999 and is based in Allen, Texas.
PFSW 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 Pfsweb Inc. To summarize, we found that Pfsweb Inc ranked in the 36th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 11.5%. The most interesting components of our discounted cash flow analysis for Pfsweb Inc ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 42. Notably, its equity weight is greater than merely 24.2% of US equities in the Industrials sector yielding a positive free cash flow.
Pfsweb Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 0.47. This coverage rate is greater than that of merely 19.52% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
WNS, RSG, SXI, UNP, and WTS can be thought of as valuation peers to PFSW, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.