Albertsons Stock Valuation

ACI
 Stock
  

USD 28.07  0.84  2.91%   

Do you want to know what the current value of Albertsons Companies is today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Albertsons Companies, is its stock price multiplied by the total number of shares outstanding, calculating Albertsons Companies' enterprise value requires a different approach. It uses Albertsons Companies' balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
The current Free Cash Flow is estimated to decrease to about 1.8 B. Enterprise Value is estimated to decrease to about 24.2 B.
Albertsons Companies shows a prevailing Real Value of $29.99 per share. The current price of the firm is $28.07. At this time, the firm appears to be undervalued. Our model approximates the value of Albertsons Companies from analyzing the firm fundamentals such as profit margin of 2.24 %, and Return On Equity of 41.46 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor locking in undervalued instruments and disposing overvalued instruments since, at some point, asset prices and their ongoing real values will blend.
  
Albertsons Companies Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Albertsons Companies's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Albertsons Most Recent Valuation Data

Price Book
3.78
Price Sales
0.2
Forward Annual Dividend Yield
0.0173
EBITDA
4.3 B
Dividend Share
0.46
Ex Dividend Date
2022-07-25
Beta
0.45
Undervalued
Today 28.07
Please note that Albertsons Companies' price fluctuation is very steady at this time. Calculation of the real value of Albertsons Companies is based on 3 months time horizon. Increasing Albertsons Companies' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Albertsons Companies is useful when determining the fair value of the Albertsons stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Albertsons Companies. Since Albertsons Companies is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Albertsons Stock. However, Albertsons Companies' 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.
29.99
Real Value
32.14
Upside
Estimating the potential upside or downside of Albertsons Companies helps investors to forecast how Albertsons 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 Albertsons Companies more accurately as focusing exclusively on Albertsons Companies' fundamentals will not take into account other important factors:
Earnings
Estimates (4)
LowProjected EPSHigh
2.832.852.86
Details
Hype
Prediction
LowEstimated ValueHigh
25.8528.0030.15
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
0.380.390.41
Details
15 Analysts
Consensus
LowTarget PriceHigh
19.0031.7740.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Albertsons Companies' intrinsic value based on its ongoing forecasts of Albertsons Companies' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Albertsons Companies' closest peers. When choosing an evaluation method for Albertsons Companies, 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.

Albertsons Valuation Drivers Correlation

Many accounts on the financial statements of Albertsons Companies are highly interrelated and sometimes correlated. Consequently, when conducting Albertsons's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Albertsons
Click cells to compare fundamentals

Albertsons Valuation Trend

Knowing Albertsons Companies' actual value is paramount for traders to make sound investment determinations. Albertsons Companies' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Albertsons Companies' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Albertsons Companies' 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.

Albertsons Market Cap

Albertsons Companies is number one stock in market capitalization category among related companies. Market capitalization of Grocery Stores industry is presently estimated at about 92.67 Billion. Albertsons Companies retains roughly 14.93 Billion in market capitalization claiming about 16% of equities under Grocery Stores industry.
Capitalization  Valuation  Workforce  Revenue  Total debt

Albertsons Companies Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Albertsons Companies's current stock value. Our valuation model uses many indicators to compare Albertsons Companies value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Albertsons Companies competition to find correlations between indicators driving Albertsons Companies's intrinsic value. More Info.
Albertsons Companies 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  0.36  of Price to Book per Price to Earning. The ratio of Price to Earning to Price to Book for Albertsons Companies is roughly  2.77 . The current Price to Book Value is estimated to increase to 5.49. Comparative valuation analysis is a catch-all model that can be used if you cannot value Albertsons Companies by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Albertsons Companies' 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 Albertsons Companies' 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 Albertsons Companies' 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 Albertsons Companies and how it compares across the competition.

About Albertsons Companies Valuation

The equity valuation mechanism determines the current worth of Albertsons Companies on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Albertsons Companies. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Albertsons Companies based exclusively on its fundamental and basic technical indicators. By analyzing Albertsons Companies'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 Albertsons Companies'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 Albertsons Companies. We calculate exposure to Albertsons Companies's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Albertsons Companies's related companies.
Fiscal Year End
February
Industry
Grocery Stores
Full Time Employees
101.5 K
Last ReportedProjected for 2022
Gross Profit20.7 B20.2 B
Profit Margin 0.023  0.0158 
Albertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. The company was founded in 1860 and is headquartered in Boise, Idaho. Albertsons Companies operates under Grocery Stores classification in the United States and is traded on New York Stock Exchange. It employs 101500 people.

Albertsons Companies Quarterly Enterprise Value

25.02 Billion

Albertsons Companies' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Albertsons Companies' value is low or high relative to the company's performance and growth projections. Determining the market value of Albertsons Companies can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Albertsons Companies represents a small ownership stake in the entity. As a stockholder of Albertsons, 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.

Albertsons Companies Dividends Analysis For Valuation

The current Payment of Dividends and Other Cash Distributions is estimated to increase to about (158.5 M). The current Dividend Yield is estimated to decrease to 0.0142. The current Price to Earnings Ratio is estimated to increase to 11.29, while Accumulated Retained Earnings Deficit are projected to decrease to roughly 1.7 B.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-207.4 M-158.5 M
Dividend Yield 0.015  0.0142 
Dividends per Basic Common Share 0.44  0.34 
There are various types of dividends Albertsons Companies 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 Albertsons 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 Albertsons Companies directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Albertsons pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Albertsons Companies by the value of the dividends paid out.

Albertsons Companies Valuation Growth Rates

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 Albertsons Companies 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.
Quick Ratio0.48
Earnings Quarterly Growth8.90%
Revenue Growth9.60%
Payout Ratio16.67%
Enterprise Value To Ebitda6.17
Earnings Growth7.90%
Enterprise Value To Revenue0.36

Albertsons Companies Current Valuation Indicators

Valuation refers to the process of determining the present value of Albertsons Companies and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Albertsons we look at many different elements of the entity such as Albertsons's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Albertsons Companies' 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 Albertsons Companies' 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 Albertsons Companies, 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 Albertsons Companies' 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 Albertsons Companies' worth.
Please continue to Trending Equities. Note that the Albertsons Companies information on this page should be used as a complementary analysis to other Albertsons Companies' 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 Global Correlations module to find global opportunities by holding instruments from different markets.

Complementary Tools for Albertsons Stock analysis

When running Albertsons Companies price analysis, check to measure Albertsons Companies' 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 Albertsons Companies is operating at the current time. Most of Albertsons Companies' value examination focuses on studying past and present price action to predict the probability of Albertsons Companies' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Albertsons Companies' price. Additionally, you may evaluate how the addition of Albertsons Companies to your portfolios can decrease your overall portfolio volatility.
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Is Albertsons Companies' 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 Albertsons Companies. If investors know Albertsons 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 Albertsons Companies 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 YOY
0.079
Market Capitalization
14.9 B
Quarterly Revenue Growth YOY
0.096
Return On Assets
0.059
Return On Equity
0.41
The market value of Albertsons Companies is measured differently than its book value, which is the value of Albertsons that is recorded on the company's balance sheet. Investors also form their own opinion of Albertsons Companies' value that differs from its market value or its book value, called intrinsic value, which is Albertsons Companies' 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 Albertsons Companies' market value can be influenced by many factors that don't directly affect Albertsons Companies' 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 Albertsons Companies' value and its price as these two are different measures arrived at by different means. Investors typically determine Albertsons Companies value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Albertsons Companies' 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.