Darling Ingredients Valuation

DAR Stock  USD 41.71  0.67  1.58%   
At this time, the firm appears to be undervalued. Darling Ingredients shows a prevailing Real Value of $52.69 per share. The current price of the firm is $41.71. Our model computes the value of Darling Ingredients from reviewing the firm fundamentals such as Profit Margin of 0.1 %, shares outstanding of 159.78 M, and Current Valuation of 11.48 B as well as analyzing its technical indicators and probability of bankruptcy. In general, most investors advise buying undervalued instruments and selling overvalued instruments since, at some point, asset prices and their ongoing real values will submerge. Key fundamental drivers impacting Darling Ingredients' valuation include:
Price Book
1.5401
Enterprise Value
11.5 B
Enterprise Value Ebitda
7.8338
Price Sales
1.0449
Forward PE
12.9702
Undervalued
Today
41.71
Please note that Darling Ingredients' price fluctuation is very steady at this time. Calculation of the real value of Darling Ingredients is based on 3 months time horizon. Increasing Darling Ingredients' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Darling Ingredients is useful when determining the fair value of the Darling stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Darling Ingredients. Since Darling Ingredients is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Darling Stock. However, Darling Ingredients' 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  41.71 Real  52.69 Target  82.67 Hype  42.41 Naive  42.15
The real value of Darling Stock, also known as its intrinsic value, is the underlying worth of Darling Ingredients Company, which is reflected in its stock price. It is based on Darling Ingredients' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Darling Ingredients' 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 Darling Ingredients' 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.
52.69
Real Value
54.97
Upside
Estimating the potential upside or downside of Darling Ingredients helps investors to forecast how Darling 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 Darling Ingredients more accurately as focusing exclusively on Darling Ingredients' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.380.590.85
Details
Hype
Prediction
LowEstimatedHigh
40.1342.4144.69
Details
Naive
Forecast
LowNext ValueHigh
39.8842.1544.43
Details
17 Analysts
Consensus
LowTarget PriceHigh
75.2382.6791.76
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Darling Ingredients' intrinsic value based on its ongoing forecasts of Darling Ingredients' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Darling Ingredients' closest peers. When choosing an evaluation method for Darling Ingredients, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Darling Ingredients Investments

(1.59 Billion)

Darling Valuation Trend

Knowing Darling Ingredients' actual value is paramount for traders to make sound investment determinations. Darling Ingredients' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Darling Ingredients' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Darling Ingredients' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Darling Market Cap

Darling Ingredients is rated # 4 in market capitalization category among related companies. Market capitalization of Consumer Staples industry is currently estimated at about 52.56 Billion. Darling Ingredients retains roughly 6.89 Billion in market capitalization claiming about 13% of stocks in Consumer Staples industry.
Capitalization  Workforce  Total debt  Valuation  Revenue

Darling Ingredients Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Darling Ingredients's current stock value. Our valuation model uses many indicators to compare Darling Ingredients value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Darling Ingredients competition to find correlations between indicators driving Darling Ingredients's intrinsic value. More Info.
Darling Ingredients is rated below average in price to earning category among related companies. It is rated # 4 in price to book category among related companies fabricating about  0.10  of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Darling Ingredients is roughly  10.46 . As of 04/17/2024, Price To Book Ratio is likely to drop to 1.68. Comparative valuation analysis is a catch-all model that can be used if you cannot value Darling Ingredients by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Darling Ingredients' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Darling Ingredients' earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Darling Ingredients' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Darling Ingredients and how it compares across the competition.

About Darling Ingredients Valuation

The stock valuation mechanism determines the current worth of Darling Ingredients on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Darling Ingredients. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Darling Ingredients based exclusively on its fundamental and basic technical indicators. By analyzing Darling Ingredients's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Darling Ingredients's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Darling Ingredients. We calculate exposure to Darling Ingredients's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Darling Ingredients's related companies.
Last ReportedProjected for Next Year
Gross Profit1.1 B1.2 B
Pretax Profit Margin 0.12  0.13 
Operating Profit Margin 0.14  0.15 
Net Profit Margin 0.10  0.11 
Gross Profit Margin 0.21  0.18 

8 Steps to conduct Darling Ingredients' Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Darling Ingredients' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Darling Ingredients' valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Darling Ingredients' financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Darling Ingredients' revenue streams: Identify Darling Ingredients' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Darling Ingredients' industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Darling Ingredients' growth potential: Evaluate Darling Ingredients' management, business model, and growth potential.
  • Determine Darling Ingredients' financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Darling Ingredients' estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.

Darling Ingredients Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Darling Ingredients 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 Outstanding162.4 M
Quarterly Earnings Growth Y O Y-0.454
Forward Price Earnings12.9702

Darling Ingredients Current Valuation Indicators

Valuation refers to the process of determining the present value of Darling Ingredients and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Darling we look at many different elements of the entity such as Darling's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Darling Ingredients' valuation analysis is also 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 Darling Ingredients' 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 Darling Ingredients, 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 Darling Ingredients' 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 Darling Ingredients' worth.
When determining whether Darling Ingredients is a strong investment it is important to analyze Darling Ingredients' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Darling Ingredients' future performance. For an informed investment choice regarding Darling Stock, refer to the following important reports:
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Darling Ingredients. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in nation.
To learn how to invest in Darling Stock, please use our How to Invest in Darling Ingredients guide.
Note that the Darling Ingredients information on this page should be used as a complementary analysis to other Darling Ingredients' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.

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When running Darling Ingredients' price analysis, check to measure Darling Ingredients' 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 Darling Ingredients is operating at the current time. Most of Darling Ingredients' value examination focuses on studying past and present price action to predict the probability of Darling Ingredients' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Darling Ingredients' price. Additionally, you may evaluate how the addition of Darling Ingredients to your portfolios can decrease your overall portfolio volatility.
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Is Darling Ingredients' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Darling Ingredients. If investors know Darling will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Darling Ingredients listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.45)
Earnings Share
3.99
Revenue Per Share
42.462
Quarterly Revenue Growth
(0.09)
Return On Assets
0.037
The market value of Darling Ingredients is measured differently than its book value, which is the value of Darling that is recorded on the company's balance sheet. Investors also form their own opinion of Darling Ingredients' value that differs from its market value or its book value, called intrinsic value, which is Darling Ingredients' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Darling Ingredients' market value can be influenced by many factors that don't directly affect Darling Ingredients' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Darling Ingredients' value and its price as these two are different measures arrived at by different means. Investors typically determine if Darling Ingredients is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Darling Ingredients' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.