Worthington Industries focuses on value-added steel processing and manufactured metal products in the United States, Europe, Mexico, Canada, and internationally. It operates through three segments: Steel Processing, Pressure Cylinders, and Engineered Cabs. The company was founded in 1955 and is based in Columbus, Ohio.
WOR 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 Worthington Industries Inc. To summarize, we found that Worthington Industries Inc ranked in the 57th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 94.83%. The most interesting components of our discounted cash flow analysis for Worthington Industries Inc ended up being:
As a business, WOR is generating more cash flow than 55.68% of positive cash flow stocks in the Basic Materials.
Worthington Industries Inc's weighted average cost of capital (WACC) is 7%; for context, that number is higher than merely 17.74% of tickers in our DCF set.
Worthington Industries Inc's effective tax rate, as measured by taxes paid relative to net income, is at 16 -- greater than 60.54% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CBT, CSL, MLM, VMC, and WLK can be thought of as valuation peers to WOR, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.