S&W Seed Company, an agricultural company, engages in breeding, growing, processing, and selling alfalfa seeds. S&W Seed Company was founded in 1980 and is based in Hanford, California.
SANW Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for S&W Seed Co with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that S&W Seed Co ranked in the 82th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 553.17% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for SANW, they are:
S&W Seed Co's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than merely 24.14% of US stocks with positive free cash flow.
S&W Seed Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -5.7. This coverage rate is greater than that of only 10.63% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 12. This value is greater than 87.03% stocks in the Consumer Defensive sector that generate free cash flow.
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 S&W Seed Co? See HFFG, BRFS, ALCO, SUMR, and BTI.
What to make of the markets today? We just wrapped up the second quarter, and the S&P 500 registered its best quarter in 70 years, gaining 20%. It was even more impressive as the gains came on the rebound from the worst losses since the Great Depression. We’ve had recessionary pressures thanks to COVID-19, and the sudden burst of positive sentiment, as it became clear that this time, there really is pent-up demand after a collapse.Looking at the historical pattern of stock market performance following bearish quarters, SunTrust Robinson chief market strategist Keith Lerner sees reason for continued optimism.“The weight of the evidence in our work still suggests that we are in a bull market… While the fits and starts in the economy and other factors will likely lead to periodic market se...
LONGMONT, Colo., June 25, 2020 /PRNewswire/ -- S&W Seed Company (Nasdaq: SANW), today announced the appointment of Travis Dillon to the Board of Directors for S&W Seed Company's Australian-based subsidiary, S&W Seed Company Australia PTY LTD (S&W Australia). Mr. Dillon becomes the first…
LONGMONT, Colo., June 15, 2020 /PRNewswire/ -- S&W Seed Company (Nasdaq: SANW) is scheduled to participate in a virtual presentation and fireside chat at the June 2020 Lytham Partners Virtual Investor Growth Conference on Wednesday, June 24, 2020 at 10:00am ET (7:00am PT). A webcast of…
LONGMONT, Colo., June 11, 2020 /PRNewswire/ -- S&W Seed Company (Nasdaq: SANW), a global agricultural company with a leading position in sorghum through its Sorghum Partners® brand, and ADAMA, one of the world's leading crop protection companies, today announced they have entered into a…