FARO Technologies Valuation
| FARO Stock | USD 42.00 0.05 0.12% |
At this time, the entity appears to be overvalued. FARO Technologies shows a prevailing Real Value of $29.82 per share. The current price of the entity is $42.0. Our model computes the value of FARO Technologies from examining the entity fundamentals such as Return On Asset of 0.02, current valuation of 797.89 M, and insignificant Profit Margin as well as evaluating its technical indicators and probability of bankruptcy. Key fundamental drivers impacting FARO Technologies' valuation include:
Price Book 3.1075 | Enterprise Value | Enterprise Value Ebitda 28.8809 | Price Sales 2.3677 | Forward PE 30.7692 |
Overvalued
Today
Please note that FARO Technologies' price fluctuation is somewhat reliable at this time. Calculation of the real value of FARO Technologies is based on 3 months time horizon. Increasing FARO Technologies' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since FARO Technologies is currently traded on the exchange, buyers and sellers on that exchange determine the market value of FARO Stock. However, FARO Technologies' 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 42.0 | Real 29.82 | Target 41.5 | Hype 42.0 | Naive 37.52 |
The intrinsic value of FARO Technologies' 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 FARO Technologies' 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 FARO Technologies helps investors to forecast how FARO 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 FARO Technologies more accurately as focusing exclusively on FARO Technologies' 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 FARO Technologies' intrinsic value based on its ongoing forecasts of FARO Technologies' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against FARO Technologies' closest peers.
FARO Technologies Cash |
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FARO Valuation Trend
Knowing FARO Technologies' actual value is paramount for traders when making sound investment determinations. Using both FARO Technologies' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
FARO Revenue by Product
FARO Technologies Total Value Analysis
FARO Technologies is currently projected to have valuation of 797.89 M with market capitalization of 807.5 M, debt of 88.8 M, and cash on hands of 101.97 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 FARO Technologies fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
797.89 M | 807.5 M | 88.8 M | 101.97 M |
FARO Technologies Investor Information
About 97.0% of the company shares are owned by institutional investors. The book value of FARO Technologies was currently reported as 13.53. The company recorded a loss per share of 0.04. FARO Technologies had not issued any dividends in recent years. Based on the key indicators related to FARO Technologies' liquidity, profitability, solvency, and operating efficiency, FARO Technologies is not in a good financial situation at this time. It has a very high probability of going through financial hardship in June.FARO Technologies Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. FARO Technologies has an asset utilization ratio of 70.9 percent. This suggests that the Company is making $0.71 for each dollar of assets. An increasing asset utilization means that FARO Technologies is more efficient with each dollar of assets it utilizes for everyday operations.FARO Technologies Ownership Allocation
The majority of FARO Technologies outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in FARO Technologies to benefit from reduced commissions. Thus, institutional investors are subject to a different set of regulations than regular investors in FARO Technologies. Please pay attention to any change in the institutional holdings of FARO Technologies as this could imply that something significant has changed or is about to change at the company.FARO Technologies Profitability Analysis
The company reported the previous year's revenue of 342.43 M. Net Loss for the year was (9.07 M) with profit before overhead, payroll, taxes, and interest of 191.08 M.About FARO Technologies Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of FARO Technologies. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of FARO Technologies based exclusively on its fundamental and basic technical indicators. By analyzing FARO Technologies's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of FARO Technologies's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of FARO Technologies. We calculate exposure to FARO Technologies's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of FARO Technologies's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 187.2 M | 126 M | |
| Operating Profit Margin | 0.01 | 0.01 | |
| Net Loss | (0.03) | (0.03) | |
| Gross Profit Margin | 0.55 | 0.62 |
FARO Technologies 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.
| Common Stock Shares Outstanding | 19.2 M | |
| Forward Price Earnings | 30.7692 |
FARO Technologies Current Valuation Indicators
FARO Technologies' 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 FARO Technologies' 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 FARO Technologies, 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 FARO Technologies' 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 FARO Technologies' worth.When determining whether FARO Technologies offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of FARO Technologies' 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 Faro Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Faro Technologies Stock: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in FARO Technologies. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. To learn how to invest in FARO Stock, please use our How to Invest in FARO Technologies guide.You can also try the Commodity Directory module to find actively traded commodities issued by global exchanges.
Is Electronic Equipment, Instruments & Components space 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 FARO Technologies. If investors know FARO 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 FARO Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.04) | Revenue Per Share | Quarterly Revenue Growth (0.02) | Return On Assets | Return On Equity |
The market value of FARO Technologies is measured differently than its book value, which is the value of FARO that is recorded on the company's balance sheet. Investors also form their own opinion of FARO Technologies' value that differs from its market value or its book value, called intrinsic value, which is FARO Technologies' 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 FARO Technologies' market value can be influenced by many factors that don't directly affect FARO Technologies' 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 FARO Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if FARO Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, FARO Technologies' 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.