FUJHY - Subaru Q3 Earnings Strong Stock Undervalued As Growth Risks Persist
2024-02-08 23:41:14 ET
Summary
- Subaru's Q3 earnings results show top-and-bottom line growth but significant cash flow outflows from investing activities.
- The company plans to increase sales to 680,000 vehicles in 2024 by improving inventory levels and making changes to its production and supply chain.
- FUJHY's valuation is attractive, with a TTM GAAP P/E ratio of 8.71 and a forward GAAP P/E ratio of 6.31, indicating a potential buying opportunity.
- Based on my DCF analysis, the stock price has a significant margin of safety, making my analyst rating a Buy.
Subaru's (FUJHY) Q3 earnings results have just been released, showing positive progress. I think the company is one of the best value investments available at this time, with a significant undervaluation based on my discounted cash flow analysis. Additionally, while the firm's growth is not expected to be exceptional long term, it has been stronger recently than over the past 10 years on average by a significant degree. I believe an allocation could be a wise value investment, especially considering my review of the company's Q3 results, full-year guidance, and production and sales ambitions....
Subaru Q3 Earnings Strong, Stock Undervalued As Growth Risks Persist