Arcosa Valuation
| ACA Stock | USD 75.88 0.10 0.13% |
At this time, the firm appears to be undervalued. Arcosa Inc shows a prevailing Real Value of $83.17 per share. The current price of the firm is $75.88. Our model approximates the value of Arcosa Inc from analyzing the firm fundamentals such as return on equity of 0.0705, and Profit Margin of 0.07 % as well as examining its technical indicators and probability of bankruptcy. In general, most investors favor taking in undervalued instruments and trading overvalued instruments since, at some point, asset prices and their ongoing real values will blend. Key fundamental drivers impacting Arcosa's valuation include:
Price Book 1.678 | Enterprise Value 4.2 B | Enterprise Value Ebitda 11.4133 | Price Sales 1.6955 | Forward PE 23.31 |
Undervalued
Today
Please note that Arcosa's price fluctuation is very steady at this time. Calculation of the real value of Arcosa Inc is based on 3 months time horizon. Increasing Arcosa's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Arcosa Inc is useful when determining the fair value of the Arcosa stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Arcosa. Since Arcosa is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Arcosa Stock. However, Arcosa'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 75.88 | Real 83.17 | Target 88.0 | Hype 75.87 |
The real value of Arcosa Stock, also known as its intrinsic value, is the underlying worth of Arcosa Inc Company, which is reflected in its stock price. It is based on Arcosa's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Arcosa'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 Arcosa'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 Arcosa Inc helps investors to forecast how Arcosa 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 Arcosa more accurately as focusing exclusively on Arcosa's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Arcosa's intrinsic value based on its ongoing forecasts of Arcosa's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Arcosa's closest peers. When choosing an evaluation method for Arcosa Inc, 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.
Arcosa Investments |
|
Arcosa Valuation Trend
Knowing Arcosa's actual value is paramount for traders to make sound investment determinations. Arcosa's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Arcosa's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Arcosa's 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.
Arcosa Market Cap
Arcosa Inc is number one stock in market capitalization category among related companies. Market capitalization of Industrials industry is presently estimated at about 16.4 Billion. Arcosa totals roughly 3.68 Billion in market capitalization claiming about 22% of equities under Industrials industry.Arcosa Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Arcosa's current stock value. Our valuation model uses many indicators to compare Arcosa value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Arcosa competition to find correlations between indicators driving Arcosa's intrinsic value. More Info.Arcosa Inc is number one stock in price to earning category among related companies. It is number one stock in price to book category among related companies fabricating about 0.06 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Arcosa Inc is roughly 17.18 . As of April 19, 2024, Price To Book Ratio is expected to decline to 0.90. Comparative valuation analysis is a catch-all model that can be used if you cannot value Arcosa by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Arcosa's 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 Arcosa's 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 Arcosa's 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 Arcosa and how it compares across the competition.
About Arcosa Valuation
The stock valuation mechanism determines the current worth of Arcosa Inc on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Arcosa Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Arcosa Inc based exclusively on its fundamental and basic technical indicators. By analyzing Arcosa'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 Arcosa'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 Arcosa. We calculate exposure to Arcosa's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Arcosa's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 443.8 M | 408.6 M | |
| Pretax Profit Margin | 0.08 | 0.1 | |
| Operating Profit Margin | 0.08 | 0.09 | |
| Net Profit Margin | 0.07 | 0.05 | |
| Gross Profit Margin | 0.19 | 0.22 |
Arcosa Quarterly Retained Earnings |
|
8 Steps to conduct Arcosa's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Arcosa's 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 Arcosa's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Arcosa's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Arcosa's revenue streams: Identify Arcosa's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Arcosa's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Arcosa's growth potential: Evaluate Arcosa's management, business model, and growth potential.
- Determine Arcosa's 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 Arcosa's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Arcosa represents a small ownership stake in the entity. As a stockholder of Arcosa, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Arcosa Dividends Analysis For Valuation
At present, Arcosa's Dividend Yield is projected to slightly decrease based on the last few years of reporting. The current year's Dividend Payout Ratio is expected to grow to 0.09, whereas Dividends Paid is forecasted to decline to about 7.9 M. . The current year's Retained Earnings Total Equity is expected to grow to about 622.5 M, whereas Retained Earnings are forecasted to decline to about 334 M.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 8.8 M | 7.9 M | |
| Dividend Yield | 0 | 0 | |
| Dividend Payout Ratio | 0.06 | 0.09 | |
| Dividend Paid And Capex Coverage Ratio | (1.35) | (1.41) |
There are various types of dividends Arcosa can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Arcosa shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Arcosa Inc directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Arcosa pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Arcosa by the value of the dividends paid out.
Arcosa 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 Arcosa 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 | 48.7 M | |
| Quarterly Earnings Growth Y O Y | -0.826 | |
| Forward Price Earnings | 23.31 |
Arcosa Current Valuation Indicators
Valuation refers to the process of determining the present value of Arcosa Inc and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Arcosa we look at many different elements of the entity such as Arcosa's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Arcosa's 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 Arcosa'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 Arcosa, 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 Arcosa'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 Arcosa's worth.When determining whether Arcosa Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Arcosa's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Arcosa Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Arcosa Inc Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arcosa Inc. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators. Note that the Arcosa Inc information on this page should be used as a complementary analysis to other Arcosa's 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 Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Complementary Tools for Arcosa Stock analysis
When running Arcosa's price analysis, check to measure Arcosa'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 Arcosa is operating at the current time. Most of Arcosa's value examination focuses on studying past and present price action to predict the probability of Arcosa's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Arcosa's price. Additionally, you may evaluate how the addition of Arcosa to your portfolios can decrease your overall portfolio volatility.
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |
Is Arcosa's 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 Arcosa. If investors know Arcosa 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 Arcosa 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 (0.83) | Dividend Share 0.2 | Earnings Share 3.26 | Revenue Per Share 47.586 | Quarterly Revenue Growth 0.164 |
The market value of Arcosa Inc is measured differently than its book value, which is the value of Arcosa that is recorded on the company's balance sheet. Investors also form their own opinion of Arcosa's value that differs from its market value or its book value, called intrinsic value, which is Arcosa's 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 Arcosa's market value can be influenced by many factors that don't directly affect Arcosa's 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 Arcosa's value and its price as these two are different measures arrived at by different means. Investors typically determine if Arcosa is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Arcosa's 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.