Goldcorp (G:TSE) and Brookfield Renewable (BEP.UN:TSE) Upgraded

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Upgraded Stocks on NYSE, NASDAQ, AMEX, TSE, and TSX

Today we are looking at companies whose share price has been upgraded by at least one analyst in the last few days.

Why Do Companies Get Upgraded?

Companies can get upgraded for a number of reasons, but primarily due to improved future earnings potential due to new contracts, new products, cost savings or restructuring.

In the list below you can see the number of analysts we have in the StockCalc database along with the number of buy-hold-sell on the company.

Today’s Data on NYSE, NASDAQ, AMEX, TSE, and TSX

Below we have today’s data for companies listed on all of the New York Stock Exchange, NASDAQ Stock Exchange, American Stock Exchange, Toronto Stock Exchange, and TSX Venture Exchange.

New York Stock Exchange
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
AAP Advance Auto Parts Inc 4 1 1 0 0 0 4.5000 4.3333 Outperform
GG Goldcorp Inc 2 0 8 0 4 0 2.7143 2.6923 Hold
BEP Brookfield Renewable Partners LP 2 1 7 0 1 0 3.2727 3.2000 Hold
ABG Asbury Automotive Group Inc 0 0 1 0 0 0 3.0000 2.0000 Hold
Toronto Stock Exchange
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
G Goldcorp Inc 2 0 8 0 4 0 2.7143 2.6923 Hold
BEP.UN Brookfield Renewable Partners LP 2 1 7 0 1 0 3.2727 3.2000 Hold
DML Denison Mines Corp 2 1 3 0 0 0 3.8333 3.8000 Outperform
UNI Unisync Corp 1 0 0 0 0 0 5.0000 0.0000 Buy
American Stock Exchange
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
DNN Denison Mines Corp 2 1 3 0 0 0 3.8333 3.8000 Outperform
NASDAQ
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
MLNX Mellanox Technologies Ltd 2 0 1 0 0 0 4.3333 4.0000 Outperform
CMPR Cimpress NV 1 0 1 0 0 0 4.0000 3.0000 Outperform
AKRX Akorn Inc 0 1 2 0 0 0 3.3333 3.0000 Hold
FRTA Forterra Inc 1 0 1 0 0 0 4.0000 3.0000 Outperform
ONCS OncoSec Medical Inc 1 0 0 0 0 0 5.0000 4.0000 Buy

Let’s look at a few companies…

Lets look at a couple of the companies on this list to get a better understanding of them.

G:TSE Goldcorp

http://www.goldcorp.com
Goldcorp has 7079 employees and is headquartered in Canada.
Goldcorp Inc is gold mining company. It is engaged in the operation, exploration, development, and acquisition of precious metal properties in Canada, the United States, Mexico, and Central and South America.

BEP.UN:TSE Brookfield Renewable

https://www.bep.brookfield.com
Brookfield Renewable has 2325 employees and is headquartered in Bermuda.
Brookfield Renewable Partners LP is a renewable power generating company. It portfolio of renewable power generating facilities is spread across North America, Colombia, Brazil, Europe, and other countries.

Free Valuation

Run a valuation on any of the companies listed above at www.stockcalc.com/valureport.aspx or subscribe at our Stockcalc Facebook Page to receive this list each day Stockcalc Reports.

The content presented here is in part from the website stockcalc.com and is provided on an as is or as available basis with all faults and may not be current in all cases. You should not rely on any of the information as authoritative or as a substitute for the exercise of your own skill and judgment in making an investment decision.

IHS Markit (INFO:NAS) Fundamental Valuation Report

Fundamental Valuation Report

IHS Markit(INFO:NAS)

Industrials:Business Services

This Report was generated using the valuation tools available on StockCalc.com. For a free 30 day trial click here.

Close Price/Date
$51.61 (USD) 21/01/2019

Weighted Valuation
$53.12 (USD)

Overall Rating
Fairly valued to slightly Undervalued by 2.9%

Valuation Models Analyst Consensus: $58.00 (USD)
(in order of importance) Comparables: $42.02 (USD)
Adjusted Book Value: $60.69 (USD)
Valuation Methods This company is:
Cash Flow: Undervalued on a Cash Flow Valuation
Comparable Company: Overvalued on a Comparable Valuation
Asset: Undervalued on an Asset Valuation

Company Overview (INFO:NAS USD)

Price 51.61
Range 51.61 – 51.61
52 week 43.73 – 55.70
Open 51.61
Vol / Avg. 0/2.13M
Mkt cap 20.34B
P/E 37.10
Div/yield 0.00/0.00
EPS 1.33
Shares 397.36M
Beta 1.01

Company Description

Formed in a 2016 merger, IHS Markit is a leading provider of data and analytics to corporate and sovereign clients across a wide variety of industries. Financial markets accounted for 34% of fiscal 2017 revenue, transportation 28%, resources (energy and chemicals) 23%, and CMS (consolidated markets) 15%. Approximately 60% of revenue came from the United States, and 12% from the United Kingdom, though only 20% of the overall top line was not U.S. dollar-denominated in fiscal 2017. IHS Markit has approximately 13,000 employees worldwide. Over 80% of revenue comes from subscription charges.

Valuation Details

 We have up to 6 valuation points for each company. Details are at the bottom of the report.

Discounted Cash Flow and Sensitivity Analysis for INFO:NAS

Using a discounted cash flow model we generated an intrinsic value of $92.32 (USD) for INFO:NAS

Sensitivity Analysis

(showing how changes in the input variables impact the DCF calculation)

INFO:NAS Current Values Valuation If Dropped * Valuation If Raised *
Calculated Value: $92.32 1% 5% 1% 5%
WACC (or Ke) 8.56 $114.47 $76.92
Terminal Growth Rate 3.00 $78.47 $112.25
Tax Rate -0.27 $96.21 $88.43
Cash Flow 1,889,020,000 $87.37 $97.27
Capital Expenditures 0 $92.32 $92.32
Long Term Debt 3,266,000,000 $92.73 $91.91

* Changes are absolute: ex WACC from 8% to 7%

Comparables Model

Using similar companies and price based ratios we generated a valuation of $42.02 (USD) for INFO:NAS. We also generated a valuation of $41.42 (USD) using other metrics and comparables.
The comparable companies were and Genpact (G:NYS).

Company INFO:NAS End Date Value
Earnings/Share $1.33 (USD)
Book Value/Share $19.86 (USD)
Sales/Share $9.52 (USD)
Cash Flow/Share $2.88 (USD)
EBITDA/Share $2.93 (USD)
Price Based on Comps Adjustment Factor (%)
$25.83 (USD) 31.8
$79.29 (USD) -34.7
$17.27 (USD) 88.7
$36.80 (USD) -2.6
$36.48 (USD) 87.7
INFO:NAS Ratios Used Average Values G:NYS
34.76 PE Ratio 19.42 19.42
2.42 PB Ratio 3.99 3.99
5.04 PS Ratio 1.81 1.81
16.67 PCF Ratio 17.64 17.64
21.64 EV to EBITDA 12.46 12.46

Multiples

Using a multiples approach we generated a valuation of  $53.11 (USD) for INFO:NAS

Company INFO:NAS End Date Value
Earnings/Share $1.33 (USD)
Book Value/Share $19.86 (USD)
Sales/Share $9.52 (USD)
Cash Flow/Share $2.88 (USD)
EBITDA/Share $2.93 (USD)
Price Based on Comps Adjustment Factor
$55.84 (USD) 0
$58.49 (USD) 0
$40.40 (USD) 0
$48.35 (USD) 0
$62.47 (USD) 0
Ratios Ratio Average
PE Ratio 41.98
PB Ratio 2.95
PS Ratio 4.24
PCF Ratio 16.80
EV to EBITDA 21.34

Adjusted Book Value versus Historical Price to Book

The average the Price to Book ratio for  INFO:NAS for the last 10 years was  3.00

We ran the Adjusted Book Value for  INFO:NAS and generated a book value of  $20.20 (USD)
By multiplying these we get an adjusted valuation of  $60.69 (USD)

Analyst Data

In the Stockcalc database there are 4 analysts that provide a valuation for INFO:NAS. The 4 analysts have a concensus valuation for INFO:NAS for 2019 of $58.00 (USD).

INFO:NAS IHS Markit

Analyst Recommendation
Buy Hold Sell Rating
(of 5)
Guidance As Of
2 4 0 3.6667 Outperform 2019-1-18

Current Price: 51.61 USD

Analyst Consensus
USD Millions 2019 2020 2021
Mean EPS 2.56 2.90 3.41
# EPS Analysts 6 4 1
Mean Revenue 4,468.00 4,741.20 5,029.60
# Revenue Analysts 4 3 1
Mean Target Price 58.00
Mean Cash Flow 3.67 4.10 5.27
Mean EBITDA 1,587.30 1,745.80 1,834.00
Mean Net Income 1,044.70 1,171.50 1,297.40
Mean Debt Outstanding 4,689.80 4,102.20 3,779.10
Mean Tax Rate 19.00 18.00
Mean Growth Rate 15.15
Mean Capital Expenditure 272.50 283.60 275.60

Explanation of Valuation Models

We have up to 6 valuation points for each company in the database.

The Discounted Cash Flow (DCF) valuation is a cash flow model where cash flow projections are discounted back to the present to calculate value per share. DCF is a common valuation technique especially for companies undergoing irregular cash flows such as resource companies (mining, forestry, oil and gas) going though price cycles or smaller companies about to generate cash flow (junior exploration companies, junior pharma, technology firms…).

The Price Comparables valuation is the result of valuing the company we are looking at on the basis of ratios from selected comparable companies: Price to Earnings, Price to Book, Price to Sales, Price to Cash Flow, Enterprise Value (EV) to EBITDA. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.

We have included the Other Comparables as a way to value companies that cannot be valued using Earnings based ratios. This technique is very useful for companies still experiencing negative cash flows such as mining exploration firms. We use Cash/Share, Book Value/Share, MarketCap, 1 Year Return, NetPPE as the ratios here. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.

Multiples are similar to Price comparables where we look at current or historic ratios for the company in question to assess what it should be worth today based on those historic ratios. We use the same 5 ratios as in the price comparables and value the company with its historic averages.

With Adjusted Book Value (ABV) we calculate the book value per share for the company based on its balance sheet and multiply that book value per share by its historical price to book ratio to calculate a value per share.

If we have Analyst coverage for the company we use the consensus target price here.

Notice to User


The contents of this report and the Stockcalc website are provided on an ‘‘as is’’ or ‘‘as available’’ basis with all faults and may not be current in all cases. The information in this report or on the website is subject to continuous change and Patchell Brook Equity Analytics Inc. assumes no responsibility to update or amend such information or that the information will be current. Patchell Brook Equity Analytics Inc. does not claim that all information, calculations or opinions presented in this report or on its website are true, reliable, or complete. Accordingly, you should not rely on any of the information as authoritative or as a substitute for the exercise of your own skill and judgment in making an investment or other decision. Any information, data, opinions, calculations or recommendations provided by third parties through links to other websites or otherwise made available through this report or website are solely those of the third party and not of Patchell Brook Equity Analytics Inc. Please refer to the Terms of Use on stockcalc.com for further information.
To access all of the tools on Stockcalc, including more detailed valuation reports and the models used to generate these valuations, please subscribe for a free 30 day trial of Stockcalc here.


Deere (DE:NYS) and Southern Copper (SCCO:NYS) Downgraded

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I have used the analysis tools on the website stockcalc.com to generate some of the content of this blog post. These tools and reports are available for free at www.stockcalc.com/toppicks.aspx.

Downgraded Stocks on NYSE, NASDAQ, AMEX, TSE, and TSX

Today we are looking at companies whose share price has been downgraded by at least one analyst in the last few days.

Why Do Companies Get Downgraded?

Companies can get downgraded for a number of reasons but primarily due to reduced future earnings potential due to loss of contracts, faultering product lines, increasing costs relative to revenue or financial risk.

In the list below you can see the number of analysts we have in the StockCalc database along with the number of buy-hold-sell on the company.

Today’s Data on NYSE, NASDAQ, AMEX, TSE, and TSX

Below we have today’s data for companies listed on all of the New York Stock Exchange, NASDAQ Stock Exchange, American Stock Exchange, Toronto Stock Exchange, and TSX Venture Exchange.

New York Stock Exchange
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
DE Deere & Co 4 1 1 0 0 0 4.5000 4.5714 Outperform
SCCO Southern Copper Corp 1 0 0 0 1 0 3.0000 4.0000 Hold
BXP Boston Properties Inc 4 1 1 0 0 0 4.5000 4.5714 Outperform
VNO Vornado Realty Trust 1 0 3 0 0 0 3.5000 3.8000 Hold
GG Goldcorp Inc 6 4 5 0 0 0 4.0667 4.2000 Outperform
SID Companhia Siderurgica Nacional 0 0 1 0 0 0 3.0000 5.0000 Hold
OR Osisko Gold Royalties Ltd 5 8 1 0 0 0 4.2857 4.3077 Outperform
Toronto Stock Exchange
Symbol Name Buy Out Perform Hold Under Perform Sell No Opinion Mean Rating Prev Mean Rating Mean Label
G Goldcorp Inc 6 4 5 0 0 0 4.0667 4.2000 Outperform
OR Osisko Gold Royalties Ltd 5 8 1 0 0 0 4.2857 4.3077 Outperform
UNS Uni-Select Inc 0 2 4 0 0 0 3.3333 3.5000 Hold
SBB Sabina Gold & Silver Corp 0 6 1 0 0 0 3.8571 4.1111 Outperform
HWO High Arctic Energy Services Inc 0 2 2 0 0 0 3.5000 3.6000 Hold
PRN Profound Medical Corp 2 2 0 0 0 0 4.5000 4.6000 Outperform

Let’s look at a few companies…

Lets look at a couple of the companies on this list to get a better understanding of them.

DE:NYS Deere

http://www.deere.com
Deere has 74000 employees and is headquartered in United States.
Deere & Co is engaged in manufacturing agricultural, construction, turf, and forestry machinery. It also provides secured and lease-based financing to support dealer inventory and customer purchases.

SCCO:NYS Southern Copper

http://www.southerncoppercorp.com
Southern Copper has 13140 employees and is headquartered in United States.
Southern Copper Corp is a metal producer having its focus on copper. Its segments include Peruvian operations, Mexican open-pit operations and Mexican underground mining operations.

Free Valuation

Run a valuation on any of the companies listed above at www.stockcalc.com/valureport.aspx or subscribe at our Stockcalc Facebook Page to receive this list each day Stockcalc Reports.

The content presented here is in part from the website stockcalc.com and is provided on an as is or as available basis with all faults and may not be current in all cases. You should not rely on any of the information as authoritative or as a substitute for the exercise of your own skill and judgment in making an investment decision.

Nielsen Holdings (NLSN:NYS) Fundamental Valuation Report


This Report was generated using the tools available on StockCalc.com. Patchell Brook Equity Analytics Inc. emphasizes that the user assumes all risks associated with the use of this report or the Stockcalc website including, but not limited to, all terms and conditions mentioned in the legal disclaimer.
To access all of the tools on Stockcalc, including more detailed valuation reports and the models used to generate these valuations, please subscribe for a free 30 day trial of Stockcalc here.

Nielsen Holdings $33.70 (USD) Close Price as of 09/02/2018

Based on the analysis conducted in this report, Nielsen Holdings, (NLSN:NYS) is found to be  Undervalued.

Company Nielsen Holdings
Symbol:Exchange NLSN:NYS
Industry Industrials:Business Services
Close Price/Date $33.70 (USD) 09/02/2018
Weighted Average Valuation $40.39 (USD)
Summary NLSN:NYS is found to be  Undervalued by 19.9% using the 3 valuation models shown below.
Valuation Models Used Analyst Consensus: $39.25 (USD)
(in order of importance) Comparables: $41.31 (USD)
Adjusted Book Value: $41.98 (USD)
Valuation Methods Analysis This company is:
Cash Flow Basis: Undervalued on a Cash Flow Valuation basis
Comparable Company Basis: Undervalued on a Comparable Valuation basis
Asset Basis: Undervalued on an Asset Valuation basis

Valuation Details

Nielsen Holdings Valuations

Summary chart

 We have up to 6 valuation points for each company. Details are at the bottom of the report.

Discounted Cash Flow and Sensitivity Analysis for NLSN:NYS

Using a discounted cash flow model we generated an intrinsic value of $48.12 (USD) for NLSN:NYS

Sensitivity Analysis

(showing how changes in the input variables impact the DCF calculation)

NLSN:NYS Current Values Valuation If Dropped * Valuation If Raised *
Calculated Value: $48.12 1% 5% 1% 5%
WACC (or Ke) 5.83 $65.91 $36.24
Terminal Growth Rate 0.80 $37.34 $64.25
Tax Rate 0.40 $54.27 $41.97
Cash Flow 2,380,593,600 $44.29 $51.95
Capital Expenditures -112,800,000 $47.94 $48.30
Long Term Debt 7,957,000,000 $49.24 $47.01

* Changes are absolute: ex WACC from 8% to 7%

Comparables Model

Using similar companies and price based ratios we generated a valuation of $41.31 (USD) for NLSN:NYS. We also generated a valuation of $51.87 (USD) using other metrics and comparables.
The comparable companies were Booz Allen Hamilton Hldg (BAH:NYS), Conduent (CNDT:NYS), Equifax (EFX:NYS), Genpact (G:NYS) and Synnex (SNX:NYS)

Company NLSN:NYS End Date Value
Earnings/Share $1.20 (USD)
Book Value/Share $11.90 (USD)
Sales/Share $18.35 (USD)
Cash Flow/Share $3.66 (USD)
EBITDA/Share $5.14 (USD)
Price Based on Comps Adjustment Factor (%)
$24.87 (USD) 45.6
$50.80 (USD) -43.5
$29.91 (USD) 10.9
$65.29 (USD) -12.2
$40.99 (USD) 24.8
NLSN:NYS Ratios Used Average Values BAH:NYS CNDT:NYS EFX:NYS G:NYS SNX:NYS
28.08 PE Ratio 20.72 19.03 0.00 25.33 23.49 15.04
2.83 PB Ratio 4.27 9.34 0.98 4.35 4.69 1.98
1.84 PS Ratio 1.63 0.89 0.54 4.10 2.37 0.26
9.21 PCF Ratio 17.85 15.64 15.34 15.84 17.00 25.40
10.75 EV to EBITDA 12.55 11.88 0.00 13.90 15.58 8.84

Multiples

Using a multiples approach we generated a valuation of  $51.99 (USD) for NLSN:NYS

Company NLSN:NYS End Date Value
Earnings/Share $1.20 (USD)
Book Value/Share $11.90 (USD)
Sales/Share $18.35 (USD)
Cash Flow/Share $3.66 (USD)
EBITDA/Share $5.14 (USD)
Price Based on Comps Adjustment Factor
$39.61 (USD) 0
$42.33 (USD) 0
$49.01 (USD) 0
$56.26 (USD) 0
$72.70 (USD) 0
Ratios Ratio Average
PE Ratio 33.01
PB Ratio 3.56
PS Ratio 2.67
PCF Ratio 15.38
EV to EBITDA 14.13

Adjusted Book Value versus Historical Price to Book

The average the Price to Book ratio for  NLSN:NYS for the last 7 years was  3.52

We ran the Adjusted Book Value for  NLSN:NYS and generated a book value of  $11.93 (USD)
By multiplying these we get an adjusted valuation of  $41.98 (USD)

Analyst Data

In the Stockcalc database there are 4 analysts that provide a valuation for NLSN:NYS. The 4 analysts have a concensus valuation for NLSN:NYS for 2018 of $39.25 (USD).

NLSN:NYS Nielsen Holdings

Analyst Recommendation
Buy Hold Sell Rating
(of 5)
Guidance As Of
1 3 0 3.5000 Hold 2018-2-8

Current Price: not available

Analyst Consensus
USD Millions 2018 2019 2020
Mean EPS 1.83 3.13 3.57
# EPS Analysts 4 1 1
Mean Revenue 6,797.70 7,050.70 7,312.60
# Revenue Analysts 2 1 1
Mean Target Price 39.25
Mean Cash Flow
Mean EBITDA 1,902.50 2,127.00 2,361.70
Mean Net Income 978.00 1,128.80 1,283.80
Mean Debt Outstanding
Mean Tax Rate 29.00 27.00 26.00
Mean Growth Rate
Mean Capital Expenditure 500.00 550.00 550.00

Company Overview (NLSN:NYS USD)

Price 33.70
Range 33.50 – 35.11
52 week 33.70 – 45.50
Open 34.21
Vol / Avg. 11.62M/2.1M
Mkt cap 12B
P/E 28.08
Div/yield 1.36/0.04
EPS 1.20
Shares 356.17M
Beta 0.96
Summary chart

Detailed Company Description

Nielsen Holdings PLC is a professional services company providing performance management services. It helps its clients to enhance their interactions with consumers and make critical business decisions. Its segments are Buy and Watch.

Explanation of Valuation Models

We have up to 6 valuation points for each company in the database.
The Discounted Cash Flow (DCF) valuation is a cash flow model where cash flow projections are discounted back to the present to calculate value per share. DCF is a common valuation technique especially for companies undergoing irregular cash flows such as resource companies (mining, forestry, oil and gas) going though price cycles or smaller companies about to generate cash flow (junior exploration companies, junior pharma, technology firms…).
The Price Comparables valuation is the result of valuing the company we are looking at on the basis of ratios from selected comparable companies: Price to Earnings, Price to Book, Price to Sales, Price to Cash Flow, Enterprise Value (EV) to EBITDA. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.
We have included the Other Comparables as a way to value companies that cannot be valued using Earnings based ratios. This technique is very useful for companies still experiencing negative cash flows such as mining exploration firms. We use Cash/Share, Book Value/Share, MarketCap, 1 Year Return, NetPPE as the ratios here. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.
Multiples are similar to Price comparables where we look at current or historic ratios for the company in question to assess what it should be worth today based on those historic ratios. We use the same 5 ratios as in the price comparables and value the company with its historic averages.
With Adjusted Book Value (ABV) we calculate the book value per share for the company based on its balance sheet and multiply that book value per share by its historical price to book ratio to calculate a value per share.
If we have Analyst coverage for the company we use the consensus target price here.

Notice to User


The contents of this report and the Stockcalc website are provided on an ‘‘as is’’ or ‘‘as available’’ basis with all faults and may not be current in all cases. The information in this report or on the website is subject to continuous change and Patchell Brook Equity Analytics Inc. assumes no responsibility to update or amend such information or that the information will be current. Patchell Brook Equity Analytics Inc. does not claim that all information, calculations or opinions presented in this report or on its website are true, reliable, or complete. Accordingly, you should not rely on any of the information as authoritative or as a substitute for the exercise of your own skill and judgment in making an investment or other decision. Any information, data, opinions, calculations or recommendations provided by third parties through links to other websites or otherwise made available through this report or website are solely those of the third party and not of Patchell Brook Equity Analytics Inc. Please refer to the Terms of Use on www.stockcalc.com for further information.
To access all of the tools on Stockcalc, including more detailed valuation reports and the models used to generate these valuations, please subscribe for a free 30 day trial of Stockcalc here.

IHS Markit (INFO:NAS) Fundamental Valuation Report


This Report was generated using the tools available on StockCalc.com. Patchell Brook Equity Analytics Inc. emphasizes that the user assumes all risks associated with the use of this report or the Stockcalc website including, but not limited to, all terms and conditions mentioned in the legal disclaimer.
To access all of the tools on Stockcalc, including more detailed valuation reports and the models used to generate these valuations, please subscribe for a free 30 day trial of Stockcalc here.

IHS Markit $47.78 (USD) Close Price as of 30/01/2018

Based on the analysis conducted in this report, IHS Markit, (INFO:NAS) is found to be  Fairly valued to slightly Undervalued.

Company IHS Markit
Symbol:Exchange INFO:NAS
Industry Industrials:Business Services
Close Price/Date $47.78 (USD) 30/01/2018
Weighted Average Valuation $49.56 (USD)
Summary INFO:NAS is found to be  Fairly valued to slightly Undervalued by 3.7% using the 3 valuation models shown below.
Valuation Models Used Analyst Consensus: $51.50 (USD)
(in order of importance) Discounted Cash Flow: $47.70 (USD)
Comparables: $47.50 (USD)
Valuation Methods Analysis This company is:
Cash Flow Basis: Fairly valued on a Cash Flow Valuation basis
Comparable Company Basis: Fairly valued on a Comparable Valuation basis
Asset Basis: Undervalued on an Asset Valuation basis

Valuation Details

IHS Markit Valuations

Summary chart

 We have up to 6 valuation points for each company. Details are at the bottom of the report.

Discounted Cash Flow and Sensitivity Analysis for INFO:NAS

Using a discounted cash flow model we generated an intrinsic value of $47.70 (USD) for INFO:NAS

Sensitivity Analysis

(showing how changes in the input variables impact the DCF calculation)

INFO:NAS Current Values Valuation If Dropped * Valuation If Raised *
Calculated Value: $47.70 1% 5% 1% 5%
WACC (or Ke) 8.68 $59.76 $39.25
Terminal Growth Rate 3.00 $40.11 $58.53
Tax Rate 0.13 $50.88 $44.51
Cash Flow 1,591,041,000 $44.94 $50.46
Capital Expenditures 0 $47.70 $47.70
Long Term Debt 3,266,000,000 $48.11 $47.29

* Changes are absolute: ex WACC from 8% to 7%

Comparables Model

Using similar companies and price based ratios we generated a valuation of $47.50 (USD) for INFO:NAS. We also generated a valuation of $57.72 (USD) using other metrics and comparables.
The comparable companies were Genpact (G:NYS)

Company INFO:NAS End Date Value
Earnings/Share $1.00 (USD)
Book Value/Share $20.12 (USD)
Sales/Share $8.65 (USD)
Cash Flow/Share $2.31 (USD)
EBITDA/Share $2.45 (USD)
Price Based on Comps Adjustment Factor (%)
$25.02 (USD) 31.8
$100.57 (USD) -34.7
$21.79 (USD) 88.7
$41.83 (USD) -2.6
$30.28 (USD) 88.2
INFO:NAS Ratios Used Average Values G:NYS
47.78 PE Ratio 25.02 25.02
2.37 PB Ratio 5.00 5.00
5.52 PS Ratio 2.52 2.52
20.68 PCF Ratio 18.10 18.10
22.64 EV to EBITDA 16.49 16.49

Multiples

Using a multiples approach we generated a valuation of  $46.43 (USD) for INFO:NAS

Company INFO:NAS End Date Value
Earnings/Share $1.00 (USD)
Book Value/Share $20.12 (USD)
Sales/Share $8.65 (USD)
Cash Flow/Share $2.31 (USD)
EBITDA/Share $2.45 (USD)
Price Based on Comps Adjustment Factor
$43.58 (USD) 0
$69.10 (USD) 0
$33.60 (USD) 0
$34.15 (USD) 0
$51.74 (USD) 0
Ratios Ratio Average
PE Ratio 43.58
PB Ratio 3.43
PS Ratio 3.88
PCF Ratio 14.78
EV to EBITDA 21.13

Adjusted Book Value versus Historical Price to Book

The average the Price to Book ratio for  INFO:NAS for the last 10 years was  3.51

We ran the Adjusted Book Value for  INFO:NAS and generated a book value of  $20.05 (USD)
By multiplying these we get an adjusted valuation of  $70.33 (USD)

Analyst Data

In the Stockcalc database there are 4 analysts that provide a valuation for INFO:NAS. The 4 analysts have a concensus valuation for INFO:NAS for 2018 of $51.50 (USD).

INFO:NAS IHS Markit

Analyst Recommendation
Buy Hold Sell Rating
(of 5)
Guidance As Of
2 4 0 3.6667 Outperform 2018-1-29

Current Price: not available

Analyst Consensus
USD Millions 2018 2019 2020
Mean EPS 2.29 2.55 3.00
# EPS Analysts 6 5 1
Mean Revenue 3,821.90 4,068.80 4,327.30
# Revenue Analysts 3 2 1
Mean Target Price 51.50
Mean Cash Flow 3.55 4.24 4.74
Mean EBITDA 1,273.40 1,377.80 1,544.70
Mean Net Income 951.80 1,025.10 1,115.50
Mean Debt Outstanding -109.10 -379.60 -4,193.30
Mean Tax Rate
Mean Growth Rate 16.62
Mean Capital Expenditure 260.70 271.80 275.60

Company Overview (INFO:NAS USD)

Price 47.78
Range 47.41 – 47.99
52 week 39.44 – 48.87
Open 47.54
Vol / Avg. 1.83M/1.19M
Mkt cap 19.06B
P/E 47.78
Div/yield 0.00/0.00
EPS 1.00
Shares 398.89M
Beta 0.65
Summary chart

Detailed Company Description

IHS Markit Ltd is a provider of data and analytics to corporate and sovereign clients across various industries. It products include economic forecasting, cost modeling, risk assessments and scenario analysis, competitive benchmarking and consulting.

Explanation of Valuation Models

We have up to 6 valuation points for each company in the database.
The Discounted Cash Flow (DCF) valuation is a cash flow model where cash flow projections are discounted back to the present to calculate value per share. DCF is a common valuation technique especially for companies undergoing irregular cash flows such as resource companies (mining, forestry, oil and gas) going though price cycles or smaller companies about to generate cash flow (junior exploration companies, junior pharma, technology firms…).
The Price Comparables valuation is the result of valuing the company we are looking at on the basis of ratios from selected comparable companies: Price to Earnings, Price to Book, Price to Sales, Price to Cash Flow, Enterprise Value (EV) to EBITDA. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.
We have included the Other Comparables as a way to value companies that cannot be valued using Earnings based ratios. This technique is very useful for companies still experiencing negative cash flows such as mining exploration firms. We use Cash/Share, Book Value/Share, MarketCap, 1 Year Return, NetPPE as the ratios here. Each of these ratios for the selected comparable companies are averaged and multiplied by the values for the company we are interested in to calculate a value per share for our selected company.
Multiples are similar to Price comparables where we look at current or historic ratios for the company in question to assess what it should be worth today based on those historic ratios. We use the same 5 ratios as in the price comparables and value the company with its historic averages.
With Adjusted Book Value (ABV) we calculate the book value per share for the company based on its balance sheet and multiply that book value per share by its historical price to book ratio to calculate a value per share.
If we have Analyst coverage for the company we use the consensus target price here.

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IHS Markit (INFO:NAS) Fundamental Valuation Report


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IHS Markit $48.37 (USD) Close Price as of 22/01/2018

Based on the analysis conducted in this report, IHS Markit, (INFO:NAS) is found to be  Fairly valued to slightly Undervalued.

Company IHS Markit
Symbol:Exchange INFO:NAS
Industry Industrials:Business Services
Close Price/Date $48.37 (USD) 22/01/2018
Weighted Average Valuation $49.19 (USD)
Summary INFO:NAS is found to be  Fairly valued to slightly Undervalued by 1.7% using the 3 valuation models shown below.
Valuation Models Used Analyst Consensus: $51.50 (USD)
(in order of importance) Discounted Cash Flow: $48.43 (USD)
Comparables: $43.77 (USD)
Valuation Methods Analysis This company is:
Cash Flow Basis: Fairly valued on a Cash Flow Valuation basis
Comparable Company Basis: Overvalued on a Comparable Valuation basis
Asset Basis: Undervalued on an Asset Valuation basis

Valuation Details

IHS Markit Valuations

Summary chart

 We have up to 6 valuation points for each company. Details are at the bottom of the report.

Discounted Cash Flow and Sensitivity Analysis for INFO:NAS

Using a discounted cash flow model we generated an intrinsic value of $48.43 (USD) for INFO:NAS

Sensitivity Analysis

(showing how changes in the input variables impact the DCF calculation)

INFO:NAS Current Values Valuation If Dropped * Valuation If Raised *
Calculated Value: $48.43 1% 5% 1% 5%
WACC (or Ke) 8.65 $60.73 $39.84
Terminal Growth Rate 3.00 $40.71 $59.47
Tax Rate 0.04 $51.29 $45.58
Cash Flow 1,419,134,000 $45.68 $51.19
Capital Expenditures 0 $48.43 $48.43
Long Term Debt 3,266,000,000 $48.84 $48.02

* Changes are absolute: ex WACC from 8% to 7%

Comparables Model

Using similar companies and price based ratios we generated a valuation of $43.77 (USD) for INFO:NAS. We also generated a valuation of $57.32 (USD) using other metrics and comparables.
The comparable companies were Genpact (G:NYS)

Company INFO:NAS End Date Value
Earnings/Share $1.00 (USD)
Book Value/Share $19.31 (USD)
Sales/Share $8.38 (USD)
Cash Flow/Share $2.09 (USD)
EBITDA/Share $0.00 (USD)
Price Based on Comps Adjustment Factor (%)
$25.36 (USD) 31.8
$97.81 (USD) -34.7
$21.39 (USD) 88.7
$38.42 (USD) -2.6
$0.00 (USD) 88.2
INFO:NAS Ratios Used Average Values G:NYS
48.37 PE Ratio 25.36 25.36
2.51 PB Ratio 5.07 5.07
5.77 PS Ratio 2.55 2.55
23.10 PCF Ratio 18.35 18.35
23.53 EV to EBITDA 16.68 16.68

Multiples

Using a multiples approach we generated a valuation of  $40.80 (USD) for INFO:NAS

Company INFO:NAS End Date Value
Earnings/Share $1.00 (USD)
Book Value/Share $19.31 (USD)
Sales/Share $8.38 (USD)
Cash Flow/Share $2.09 (USD)
EBITDA/Share $1.44 (USD)
Price Based on Comps Adjustment Factor
$43.54 (USD) 0
$66.69 (USD) 0
$32.53 (USD) 0
$30.87 (USD) 0
$30.35 (USD) 0
Ratios Ratio Average
PE Ratio 43.54
PB Ratio 3.45
PS Ratio 3.88
PCF Ratio 14.74
EV to EBITDA 21.14

Adjusted Book Value versus Historical Price to Book

The average the Price to Book ratio for  INFO:NAS for the last 10 years was  3.52

We ran the Adjusted Book Value for  INFO:NAS and generated a book value of  $19.48 (USD)
By multiplying these we get an adjusted valuation of  $68.56 (USD)

Analyst Data

In the Stockcalc database there are 4 analysts that provide a valuation for INFO:NAS. The 4 analysts have a concensus valuation for INFO:NAS for 2018 of $51.50 (USD).

INFO:NAS IHS Markit

Analyst Recommendation
Buy Hold Sell Rating
(of 5)
Guidance As Of
2 4 0 3.6667 Outperform 2018-1-19

Current Price: not available

Analyst Consensus
USD Millions 2017 2018 2019
Mean EPS 2.06 2.29 2.55
# EPS Analysts 5 6 5
Mean Revenue 3,564.00 3,821.90 4,068.80
# Revenue Analysts 3 3 2
Mean Target Price 51.50
Mean Cash Flow 3.74 3.55 4.24
Mean EBITDA 1,111.10 1,273.40 1,377.80
Mean Net Income 855.40 951.80 1,025.10
Mean Debt Outstanding -71.40 -109.10 -379.60
Mean Tax Rate
Mean Growth Rate 16.62
Mean Capital Expenditure 259.90 260.70 271.80

Company Overview (INFO:NAS USD)

Price 46.84
Range 46.62 – 47.23
52 week 39.00 – 48.87
Open 46.62
Vol / Avg. 3.25M/1.19M
Mkt cap 18.68B
P/E 97.58
Div/yield 0.00/0.00
EPS 0.35
Shares 398.89M
Beta 0.65