Tupperware Brands operates as a direct-to-consumer marketer of various products across a range of brands and categories worldwide. The company engages in the manufacture and sale of design-centric preparation, storage, and serving solutions for the kitchen and home, as well as a line of cookware, knives, microwave products, microfiber textiles, and water related items under the Tupperware brand name. The company was founded in 1996 and is based in Orlando, Florida.
TUP Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Tupperware Brands Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Tupperware Brands Corp ranked in the 46th percentile in terms of potential gain offered. The most interesting components of our discounted cash flow analysis for Tupperware Brands Corp ended up being:
The company's compound free cash flow growth rate over the past 5.74 years comes in at -0.09%; that's greater than just 18.16% of US stocks we're applying DCF forecasting to.
Tupperware Brands Corp's effective tax rate, as measured by taxes paid relative to net income, is at 40 -- greater than 92.45% of US stocks with positive free cash flow.
Relative to other stocks in its sector (Consumer Cyclical), Tupperware Brands Corp has a reliance on debt greater than 58.82% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CSV, SGA, ICON, SIRI, and AZO can be thought of as valuation peers to TUP, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Ladies and gentlemen, thank you for standing by, and welcome to the Tupperware Brands Corporation second-quarter 2020 earnings conference call. With me on today's call are Rich Goudis, our executive vice chairman; and Sandra Harris, our executive vice president and chief financial officer. The press release is available on our company's website on our investor relations page.
ORLANDO, Fla., July 29, 2020 /PRNewswire/ -- (NYSE: TUP) Tupperware Brands Corporation (the "Company") today reported operating results for the second quarter ended June 27, 2020. Second Quarter Financial & Operational Updates Second quarter sales down 16% versus last year and 8% in local…