Veritiv Corporation operates as a business-to-business distributor of print, publishing, packaging, facility, and logistics solutions in in the United States, Canada, and Mexico. The company operates through four segments: Print, Publishing, Packaging, and Facility Solutions. The company was founded in 2014 and is based in Atlanta, Georgia.
VRTV Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Veritiv Corp. To summarize, we found that Veritiv Corp ranked in the 94th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 4179.5% on a DCF basis. The most interesting components of our discounted cash flow analysis for Veritiv Corp ended up being:
In the past 4.73 years, Veritiv Corp has a compound free cash flow growth rate of 0.42%; that's higher than 85.19% of free cash flow generating stocks in the Industrials sector.
22% of the company's capital comes from equity, which is greater than just 9.48% of stocks in our cash flow based forecasting set.
The business' balance sheet reveals debt to be 78% of the company's capital (with equity being the remaining amount). Approximately 90.47% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
LTM, CCNC, SNDR, SPLP, and DAC can be thought of as valuation peers to VRTV, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
ATLANTA , May 11, 2020 /PRNewswire/ -- Veritiv Corporation (VRTV), a leading print and paper solutions provider, announced today that its Canadian division, Veritiv Canada Inc., will be the exclusive Canadian distributor of coated board from China from Asia Pulp & Paper (APP). The relationship provides Veritiv exclusive marketing, selling, and distribution rights across Canada to APP's lineup of coated board from China .
At this time, I would like to turn the call over to Tom Morabito, director of investor relations. Today, you'll hear prepared remarks from Mary Laschinger, our chairman and chief executive officer; Sal Abbate, our chief operating officer; and Steve Smith, our chief financial officer.
ATLANTA, May 6, 2020 /PRNewswire/ -- Veritiv Corporation (NYSE: VRTV), a North American leader in business-to-business distribution solutions, today announced financial results for the first quarter ended March 31, 2020. "Our consolidated first quarter 2020 results were highlighted by a…