Frontdoor Valuation
| FTDR Stock | USD 54.99 1.31 2.33% |
At this time, the firm appears to be undervalued. Frontdoor shows a prevailing Real Value of $58.69 per share. The current price of the firm is $54.99. Our model computes the value of Frontdoor from reviewing the firm fundamentals such as Current Valuation of 5.62 B, profit margin of 0.13 %, and Shares Outstanding of 72.11 M as well as analyzing its technical indicators and probability of bankruptcy.
Price Book 19.6722 | Enterprise Value | Enterprise Value Ebitda 12.2709 | Price Sales 2.0085 | Forward PE 18.5529 |
Undervalued
Today
Please note that Frontdoor's price fluctuation is very steady at this time. Calculation of the real value of Frontdoor is based on 3 months time horizon. Increasing Frontdoor's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Frontdoor stock is determined by what a typical buyer is willing to pay for full or partial control of Frontdoor. Since Frontdoor is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Frontdoor Stock. However, Frontdoor's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 54.99 | Real 58.69 | Target 59.33 | Hype 54.99 | Naive 55.42 |
The intrinsic value of Frontdoor's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Frontdoor's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Frontdoor helps investors to forecast how Frontdoor stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Frontdoor more accurately as focusing exclusively on Frontdoor's fundamentals will not take into account other important factors: Frontdoor Cash |
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Frontdoor Total Value Analysis
Frontdoor is currently forecasted to have valuation of 5.62 B with market capitalization of 4.1 B, debt of 1.22 B, and cash on hands of 269 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Frontdoor fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
5.62 B | 4.1 B | 1.22 B | 269 M |
Frontdoor Investor Information
About 99.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 0.83. Frontdoor had not issued any dividends in recent years. Based on the analysis of Frontdoor's profitability, liquidity, and operating efficiency, Frontdoor is not in a good financial situation at this time. It has a very high probability of going through financial hardship in March.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.19 | 0.21 |
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| Total Cash From Operating Activities | 206.7 M | 310.5 M |
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| Operating Income | 260.5 M | 391 M |
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Frontdoor Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Frontdoor has an asset utilization ratio of 87.47 percent. This connotes that the Company is making $0.87 for each dollar of assets. An increasing asset utilization means that Frontdoor is more efficient with each dollar of assets it utilizes for everyday operations.Frontdoor Profitability Analysis
Considering Frontdoor's profitability and operating efficiency indicators, Frontdoor may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in March. Profitability indicators assess Frontdoor's ability to earn profits and add value for shareholders.Net Income | First Reported 2016-12-31 | Previous Quarter 111 M | Current Value 106 M | Quarterly Volatility 33.5 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.38 | 0.48 |
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| Net Profit Margin | 0.11 | 0.15 |
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| Operating Profit Margin | 0.19 | 0.21 |
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| Pretax Profit Margin | 0.15 | 0.19 |
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| Return On Assets | 0.088 | 0.1 |
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For Frontdoor profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Frontdoor to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Frontdoor utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Frontdoor's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Frontdoor over time as well as its relative position and ranking within its peers.
Frontdoor Earnings per Share Projection vs Actual
By analyzing Frontdoor's earnings estimates, investors can diagnose different trends across Frontdoor's analyst sentiment over time as well as compare current EPS estimates against different timeframes. Please be aware that the consensus of earnings estimates for Frontdoor is based on EPS before non-recurring items and includes expenses related to employee stock options.Frontdoor Ownership Allocation
The majority of Frontdoor outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Frontdoor to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Frontdoor. Please pay attention to any change in the institutional holdings of Frontdoor as this could imply that something significant has changed or is about to change at the company. On March 10, 2020, Representative Peter Welch of US Congress acquired under $15k worth of Frontdoor's common stock.Frontdoor Profitability Analysis
The company reported the previous year's revenue of 1.84 B. Net Income was 235 M with profit before overhead, payroll, taxes, and interest of 1.13 B.About Frontdoor Valuation
The stock valuation mechanism determines Frontdoor's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Frontdoor based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Frontdoor. We calculate exposure to Frontdoor's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Frontdoor's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.1 B | 739.4 M | |
| Pretax Profit Margin | 0.19 | 0.15 | |
| Operating Profit Margin | 0.21 | 0.19 | |
| Net Profit Margin | 0.15 | 0.11 | |
| Gross Profit Margin | 0.48 | 0.38 |
Frontdoor Growth Indicators
Investing in growth stocks can be very risky. If the company such as Frontdoor does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 78 M | |
| Quarterly Earnings Growth Y O Y | 0.092 | |
| Forward Price Earnings | 18.5529 |
Frontdoor Current Valuation Indicators
Frontdoor's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Frontdoor's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Frontdoor, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Frontdoor's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Frontdoor's worth.Additional Tools for Frontdoor Stock Analysis
When running Frontdoor's price analysis, check to measure Frontdoor's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Frontdoor is operating at the current time. Most of Frontdoor's value examination focuses on studying past and present price action to predict the probability of Frontdoor's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Frontdoor's price. Additionally, you may evaluate how the addition of Frontdoor to your portfolios can decrease your overall portfolio volatility.