Below please find a table outlining a discounted cash flow forecast for TAIT, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Taitron Components Inc ranked in the 60th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. In terms of the factors that were most noteworthy in this DCF analysis for TAIT, they are:
The business' balance sheet reveals debt to be 1% of the company's capital (with equity being the remaining amount). Approximately merely 5.88% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than only 0% of stocks in its sector (Technology).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
STMP, ELTK, EXTR, FORM, and PANW can be thought of as valuation peers to TAIT, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
I continue in my search for "hidden gems" in the stock market. However, most "undervalued" companies that show on my screener have issues once you dig a bit deeper. Taitron Components (TAIT) is one such company that looks decent on the surface, as it is has a dividend yield of...
LOS ANGELES, July 31, 2020 (GLOBE NEWSWIRE) -- Taitron Components Incorporated (NASDAQ:TAIT) today announced that its Board of Directors has declared a quarterly cash dividend of $0.035 per share of common stock, payable on August 31, 2020 to stockholders of record as of the close of business on August 14, 2020. Under our revised dividend policy, the Company will now target a cash dividend to our stockholders in the amount of $0.14 per share per annum, payable in equal $0.035 per share quarterly installments. Subsequent dividend declarations and the establishment of record and payment dates for such future dividend payments, if any, are subject to the Board of Directors’ continuing determination that the dividend policy is in the best interests of the Company’s stockholders. The divide...