TreeHouse Foods operates as a food and beverage manufacturer in the United States and Canada. The company's product categories include beverages, salad dressings, snacks, beverage enhancers, pickles, Mexican and other sauces, soup and infant feeding, cereals, dry dinners, aseptic products, jams and other products. The company was founded in 2005 and is based in Oak Brook, Illinois.
THS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for TreeHouse Foods Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that TreeHouse Foods Inc ranked in the 50th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 14.83%. As for the metrics that stood out in our discounted cash flow analysis of TreeHouse Foods Inc, consider:
The company's balance sheet shows it gets 51% of its capital from equity, and 49% of its capital from debt. Its equity weight surpasses that of only 20.17% of free cash flow generating stocks in the Consumer Defensive sector.
TreeHouse Foods Inc's effective tax rate, as measured by taxes paid relative to net income, is at 28 -- greater than 88.96% of US stocks with positive free cash flow.
TreeHouse Foods Inc's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -1.48. This coverage rate is greater than that of just 18.97% 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
Want more companies with a valuation profile/forecast similar to that of TreeHouse Foods Inc? See CAG, KDP, HSY, DL, and USNA.
TreeHouse Foods ([[THS]] +0.2%) to offer $400M of senior unsecured notes due 2028. Net proceeds will be used to fund the redemption of $375.9M outstanding 4.875% senior notes due 2022 at 100% of the principal amount and any remaining net proceeds will be used for general corporate purposes....
The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. We at Insider Monkey have plowed through 821 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F […]
TreeHouse Foods, Inc. (NYSE: THS) will host an audio webcast of its second quarter earnings results conference call on Thursday, August 6, 2020 at 8:30 a.m. ET. Steve Oakland, Chief Executive Officer and President, and Bill Kelley, Executive Vice President and Chief Financial Officer, will discuss the results for the second quarter and the outlook for the balance of 2020. An earnings release will be issued before the market opens on the same date, and the accompanying slides will be posted to the "Investors" section of the website at approximately 8:15 a.m. ET. The webcast will be accessible by visiting http://www.treehousefoods.com and by clicking on "Investors", "Events & Presentations".