Dorman Products Valuation
| DORM Stock | USD 88.00 0.95 1.07% |
At this time, the firm appears to be overvalued. Dorman Products shows a prevailing Real Value of $74.18 per share. The current price of the firm is $88.0. Our model computes the value of Dorman Products from reviewing the firm fundamentals such as Shares Outstanding of 31.03 M, current valuation of 3.44 B, and Profit Margin of 0.07 % as well as analyzing its technical indicators and probability of bankruptcy. In general, most investors advise obtaining undervalued instruments and abandoning overvalued instruments since, at some point, asset prices and their ongoing real values will submerge. Key fundamental drivers impacting Dorman Products' valuation include:
Price Book 2.3916 | Enterprise Value 3.4 B | Enterprise Value Ebitda 12.6209 | Price Sales 1.4478 | Forward PE 16.2338 |
Overvalued
Today
Please note that Dorman Products' price fluctuation is very steady at this time. Calculation of the real value of Dorman Products is based on 3 months time horizon. Increasing Dorman Products' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Dorman Products is useful when determining the fair value of the Dorman stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Dorman Products. Since Dorman Products is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Dorman Stock. However, Dorman Products' 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 88.0 | Real 74.18 | Target 106.25 | Hype 88.0 | Naive 84.08 |
The real value of Dorman Stock, also known as its intrinsic value, is the underlying worth of Dorman Products Company, which is reflected in its stock price. It is based on Dorman Products' financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Dorman Products' 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 Dorman Products' 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 Dorman Products helps investors to forecast how Dorman 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 Dorman Products more accurately as focusing exclusively on Dorman Products' 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 Dorman Products' intrinsic value based on its ongoing forecasts of Dorman Products' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Dorman Products' closest peers. When choosing an evaluation method for Dorman Products, 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.
Dorman Products Investments |
|
Dorman Valuation Trend
Knowing Dorman Products' actual value is paramount for traders to make sound investment determinations. Dorman Products' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Dorman Products' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Dorman Products' 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.
Dorman Market Cap
Dorman Products is one of the top stocks in market capitalization category among related companies. Market capitalization of Consumer Discretionary industry is currently estimated at about 5.94 Billion. Dorman Products totals roughly 2.79 Billion in market capitalization claiming about 47% of stocks in Consumer Discretionary industry.Dorman Products Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Dorman Products's current stock value. Our valuation model uses many indicators to compare Dorman Products value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Dorman Products competition to find correlations between indicators driving Dorman Products's intrinsic value. More Info.Dorman Products is rated # 3 in price to earning category among related companies. It is one of the top stocks 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 Dorman Products is roughly 10.50 . As of the 18th of April 2024, Price To Book Ratio is likely to drop to 1.80. Comparative valuation analysis is a catch-all model that can be used if you cannot value Dorman Products by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Dorman Products' 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 Dorman Products' 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 Dorman Products' 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 Dorman Products and how it compares across the competition.
About Dorman Products Valuation
The stock valuation mechanism determines the current worth of Dorman Products on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Dorman Products. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Dorman Products based exclusively on its fundamental and basic technical indicators. By analyzing Dorman Products'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 Dorman Products'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 Dorman Products. We calculate exposure to Dorman Products's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Dorman Products's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 685.4 M | 719.7 M | |
| Pretax Profit Margin | 0.09 | 0.09 | |
| Operating Profit Margin | 0.11 | 0.1 | |
| Net Profit Margin | 0.07 | 0.06 | |
| Gross Profit Margin | 0.36 | 0.43 |
Dorman Products Quarterly Retained Earnings |
|
8 Steps to conduct Dorman Products' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Dorman Products' 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 Dorman Products' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Dorman Products' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Dorman Products' revenue streams: Identify Dorman Products' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Dorman Products' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Dorman Products' growth potential: Evaluate Dorman Products' management, business model, and growth potential.
- Determine Dorman Products' 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 Dorman Products' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Dorman Products 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 Dorman Products 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 | 31.5 M | |
| Quarterly Earnings Growth Y O Y | 1.855 | |
| Forward Price Earnings | 16.2338 |
Dorman Products Current Valuation Indicators
Valuation refers to the process of determining the present value of Dorman Products and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Dorman we look at many different elements of the entity such as Dorman's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Dorman Products' 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 Dorman Products' 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 Dorman Products, 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 Dorman Products' 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 Dorman Products' worth.When determining whether Dorman Products is a strong investment it is important to analyze Dorman Products' 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 Dorman Products' future performance. For an informed investment choice regarding Dorman Stock, refer to the following important reports: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Dorman Products. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in metropolitan statistical area. To learn how to invest in Dorman Stock, please use our How to Invest in Dorman Products guide.You can also try the Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Complementary Tools for Dorman Stock analysis
When running Dorman Products' price analysis, check to measure Dorman Products' 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 Dorman Products is operating at the current time. Most of Dorman Products' value examination focuses on studying past and present price action to predict the probability of Dorman Products' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dorman Products' price. Additionally, you may evaluate how the addition of Dorman Products to your portfolios can decrease your overall portfolio volatility.
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |
Is Dorman Products' 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 Dorman Products. If investors know Dorman 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 Dorman Products 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 1.855 | Earnings Share 4.1 | Revenue Per Share 61.351 | Quarterly Revenue Growth (0.01) | Return On Assets 0.0701 |
The market value of Dorman Products is measured differently than its book value, which is the value of Dorman that is recorded on the company's balance sheet. Investors also form their own opinion of Dorman Products' value that differs from its market value or its book value, called intrinsic value, which is Dorman Products' 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 Dorman Products' market value can be influenced by many factors that don't directly affect Dorman Products' 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 Dorman Products' value and its price as these two are different measures arrived at by different means. Investors typically determine if Dorman Products is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dorman Products' 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.