Stamps.com Inc. (STMP): Price and Financial Metrics

STMP Stock Price Chart Interactive Chart >

STMP Price/Volume Stats

Stamps.com Inc. (STMP) Company Bio

Stamps.com provides Internet-based postage solutions in the United States, offering solutions for mailing and shipping various mail pieces, such as postcards, envelopes, flats, and packages using a range of United States Postal Service mail classes, including First Class Mail, Priority Mail, Priority Mail Express, Media Mail, Parcel Select, and others. The company was founded in 1996 and is based in El Segundo, California

STMP Price Forecast Based on DCF Valuation

Below please find a table outlining a discounted cash flow forecast for STMP, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Stampscom Inc ranked in the 63th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 54%. The most interesting components of our discounted cash flow analysis for Stampscom Inc ended up being:

• Interest coverage, a measure of earnings relative to interest payments, is 108.5; that's higher than 92.78% of US stocks in the Technology sector that have positive free cash flow.
• The business' balance sheet reveals debt to be 2% of the company's capital (with equity being the remaining amount). Approximately only 9.45% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
• STMP's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 52.89% of tickers in our DCF set.

For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as STMP, try RP, WEX, NCR, TLS, and UEIC.