WABCO Holdings is a leading innovator and global supplier of technologies that improve the safety and efficiency of commercial vehicles. The company was founded in 1869 and is based in Brussels, Belgium.
WBC 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 WABCO Holdings Inc. To summarize, we found that WABCO Holdings Inc ranked in the 14th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. In terms of the factors that were most noteworthy in this DCF analysis for WBC, they are:
Its compound free cash flow growth rate, as measured over the past 5.58 years, is -0.11% -- higher than only 16.36% of stocks in our DCF forecasting set.
The business' balance sheet reveals debt to be 12% of the company's capital (with equity being the remaining amount). Approximately only 22.21% 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 (Consumer Cyclical).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as WBC, try DLB, ALV, BBW, BXG, and TIF.