Intrinsic value of Snyders-Lance - LNCE

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$35.26

  Intrinsic Value

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  Rating & Target

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  Value-price divergence*

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Previous close

$35.26

 
Intrinsic value

$3.08

 
Up/down potential

-91%

 
Rating

str. sell

 
Value-price divergence* premium content

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*Intrinsic value change (in %) minus stock price change (in %) in the past 12 months.

We calculate the intrinsic value of LNCE stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 2016), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 3.4

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
2016(a)
   2017
   2018
   2019
   2020
   2021
   2022
   2023
   2024
   2025
   2026
   2027
   2028
   2029
   2030
   2031
   2032
   2033
   2034
   2035
   2036
   2037
   2038
   2039
   2040
   2041
   2042
   2043
   2044
   2045
   2046

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  27.36
  27.40
  25.16
  23.14
  21.33
  19.70
  18.23
  16.90
  15.71
  14.64
  13.68
  12.81
  12.03
  11.33
  10.69
  10.12
  9.61
  9.15
  8.74
  8.36
  8.03
  7.72
  7.45
  7.21
  6.99
  6.79
  6.61
  6.45
  6.30
  6.17
  6.06
Revenue, $m
  2,109
  2,687
  3,363
  4,141
  5,024
  6,014
  7,110
  8,312
  9,618
  11,027
  12,535
  14,141
  15,842
  17,636
  19,522
  21,499
  23,565
  25,722
  27,969
  30,307
  32,740
  35,268
  37,896
  40,627
  43,465
  46,415
  49,482
  52,672
  55,992
  59,448
  63,048
Variable operating expenses, $m
 
  2,503
  3,100
  3,786
  4,566
  5,439
  6,407
  7,467
  8,620
  9,863
  11,194
  12,479
  13,981
  15,564
  17,229
  18,973
  20,796
  22,700
  24,682
  26,746
  28,893
  31,125
  33,444
  35,854
  38,358
  40,961
  43,668
  46,484
  49,413
  52,463
  55,640
Fixed operating expenses, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  2,009
  2,503
  3,100
  3,786
  4,566
  5,439
  6,407
  7,467
  8,620
  9,863
  11,194
  12,479
  13,981
  15,564
  17,229
  18,973
  20,796
  22,700
  24,682
  26,746
  28,893
  31,125
  33,444
  35,854
  38,358
  40,961
  43,668
  46,484
  49,413
  52,463
  55,640
Operating income, $m
  100
  184
  263
  355
  459
  575
  704
  845
  998
  1,164
  1,341
  1,661
  1,861
  2,072
  2,294
  2,526
  2,769
  3,022
  3,286
  3,561
  3,847
  4,144
  4,453
  4,773
  5,107
  5,453
  5,814
  6,189
  6,579
  6,985
  7,408
EBITDA, $m
  199
  391
  490
  603
  732
  876
  1,036
  1,211
  1,401
  1,606
  1,826
  2,060
  2,308
  2,569
  2,844
  3,132
  3,433
  3,747
  4,074
  4,415
  4,769
  5,138
  5,520
  5,918
  6,332
  6,761
  7,208
  7,673
  8,156
  8,660
  9,184
Interest expense (income), $m
  31
  47
  66
  89
  116
  146
  180
  217
  258
  302
  350
  402
  457
  514
  576
  640
  707
  778
  851
  928
  1,007
  1,090
  1,176
  1,266
  1,359
  1,455
  1,556
  1,660
  1,769
  1,882
  2,000
Earnings before tax, $m
  67
  137
  197
  265
  343
  429
  524
  628
  740
  861
  991
  1,260
  1,405
  1,558
  1,718
  1,886
  2,062
  2,245
  2,435
  2,633
  2,840
  3,054
  3,276
  3,508
  3,748
  3,998
  4,258
  4,528
  4,810
  5,103
  5,408
Tax expense, $m
  25
  37
  53
  72
  93
  116
  141
  170
  200
  233
  267
  340
  379
  421
  464
  509
  557
  606
  657
  711
  767
  825
  885
  947
  1,012
  1,079
  1,150
  1,223
  1,299
  1,378
  1,460
Net income, $m
  15
  100
  144
  194
  250
  313
  383
  458
  540
  629
  723
  920
  1,026
  1,137
  1,254
  1,377
  1,505
  1,639
  1,778
  1,922
  2,073
  2,229
  2,392
  2,561
  2,736
  2,919
  3,108
  3,306
  3,511
  3,725
  3,948

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  35
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  3,834
  4,841
  6,059
  7,462
  9,053
  10,836
  12,811
  14,977
  17,331
  19,868
  22,586
  25,479
  28,544
  31,777
  35,175
  38,737
  42,460
  46,345
  50,394
  54,608
  58,991
  63,547
  68,282
  73,202
  78,315
  83,630
  89,157
  94,905
  100,886
  107,113
  113,599
Adjusted assets (=assets-cash), $m
  3,799
  4,841
  6,059
  7,462
  9,053
  10,836
  12,811
  14,977
  17,331
  19,868
  22,586
  25,479
  28,544
  31,777
  35,175
  38,737
  42,460
  46,345
  50,394
  54,608
  58,991
  63,547
  68,282
  73,202
  78,315
  83,630
  89,157
  94,905
  100,886
  107,113
  113,599
Revenue / Adjusted assets
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
  0.555
Average production assets, $m
  1,403
  1,787
  2,236
  2,754
  3,341
  3,999
  4,728
  5,528
  6,396
  7,333
  8,336
  9,404
  10,535
  11,728
  12,982
  14,297
  15,671
  17,105
  18,599
  20,154
  21,772
  23,454
  25,201
  27,017
  28,904
  30,866
  32,906
  35,027
  37,235
  39,533
  41,927
Working capital, $m
  296
  395
  494
  609
  739
  884
  1,045
  1,222
  1,414
  1,621
  1,843
  2,079
  2,329
  2,593
  2,870
  3,160
  3,464
  3,781
  4,111
  4,455
  4,813
  5,184
  5,571
  5,972
  6,389
  6,823
  7,274
  7,743
  8,231
  8,739
  9,268
Total debt, $m
  1,295
  1,792
  2,414
  3,131
  3,944
  4,855
  5,865
  6,971
  8,174
  9,471
  10,859
  12,338
  13,904
  15,556
  17,293
  19,112
  21,015
  23,000
  25,069
  27,223
  29,462
  31,790
  34,210
  36,724
  39,337
  42,053
  44,877
  47,814
  50,871
  54,053
  57,367
Total liabilities, $m
  1,977
  2,474
  3,096
  3,813
  4,626
  5,537
  6,547
  7,653
  8,856
  10,153
  11,541
  13,020
  14,586
  16,238
  17,975
  19,794
  21,697
  23,682
  25,751
  27,905
  30,144
  32,472
  34,892
  37,406
  40,019
  42,735
  45,559
  48,496
  51,553
  54,735
  58,049
Total equity, $m
  1,857
  2,367
  2,963
  3,649
  4,427
  5,299
  6,265
  7,324
  8,475
  9,716
  11,044
  12,459
  13,958
  15,539
  17,201
  18,942
  20,763
  22,663
  24,643
  26,703
  28,846
  31,074
  33,390
  35,796
  38,296
  40,895
  43,598
  46,409
  49,333
  52,378
  55,550
Total liabilities and equity, $m
  3,834
  4,841
  6,059
  7,462
  9,053
  10,836
  12,812
  14,977
  17,331
  19,869
  22,585
  25,479
  28,544
  31,777
  35,176
  38,736
  42,460
  46,345
  50,394
  54,608
  58,990
  63,546
  68,282
  73,202
  78,315
  83,630
  89,157
  94,905
  100,886
  107,113
  113,599
Debt-to-equity ratio
  0.697
  0.760
  0.810
  0.860
  0.890
  0.920
  0.940
  0.950
  0.960
  0.970
  0.980
  0.990
  1.000
  1.000
  1.010
  1.010
  1.010
  1.010
  1.020
  1.020
  1.020
  1.020
  1.020
  1.030
  1.030
  1.030
  1.030
  1.030
  1.030
  1.030
  1.030
Adjusted equity ratio
  0.480
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489
  0.489

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  15
  100
  144
  194
  250
  313
  383
  458
  540
  629
  723
  920
  1,026
  1,137
  1,254
  1,377
  1,505
  1,639
  1,778
  1,922
  2,073
  2,229
  2,392
  2,561
  2,736
  2,919
  3,108
  3,306
  3,511
  3,725
  3,948
Depreciation, amort., depletion, $m
  99
  208
  227
  248
  273
  301
  332
  366
  403
  443
  485
  398
  446
  497
  550
  606
  664
  725
  788
  854
  923
  994
  1,068
  1,145
  1,225
  1,308
  1,394
  1,484
  1,578
  1,675
  1,777
Funds from operations, $m
  322
  308
  370
  442
  524
  614
  715
  824
  943
  1,071
  1,208
  1,318
  1,472
  1,634
  1,804
  1,983
  2,169
  2,363
  2,566
  2,776
  2,995
  3,223
  3,460
  3,705
  3,961
  4,226
  4,503
  4,790
  5,089
  5,400
  5,724
Change in working capital, $m
  61
  85
  99
  114
  130
  145
  161
  177
  192
  207
  222
  236
  250
  264
  277
  291
  304
  317
  330
  344
  358
  372
  386
  401
  417
  434
  451
  469
  488
  508
  529
Cash from operations, $m
  261
  696
  271
  328
  394
  469
  554
  648
  751
  864
  986
  1,082
  1,222
  1,370
  1,527
  1,692
  1,865
  2,046
  2,235
  2,433
  2,638
  2,851
  3,073
  3,304
  3,544
  3,793
  4,052
  4,321
  4,601
  4,892
  5,195
Maintenance CAPEX, $m
  0
  -59
  -76
  -95
  -117
  -142
  -169
  -200
  -234
  -271
  -311
  -353
  -398
  -446
  -497
  -550
  -606
  -664
  -725
  -788
  -854
  -923
  -994
  -1,068
  -1,145
  -1,225
  -1,308
  -1,394
  -1,484
  -1,578
  -1,675
New CAPEX, $m
  -73
  -384
  -450
  -518
  -587
  -658
  -729
  -799
  -869
  -937
  -1,003
  -1,068
  -1,131
  -1,193
  -1,254
  -1,314
  -1,374
  -1,434
  -1,494
  -1,555
  -1,618
  -1,682
  -1,748
  -1,816
  -1,887
  -1,962
  -2,040
  -2,122
  -2,208
  -2,298
  -2,394
Cash from investing activities, $m
  -1,117
  -443
  -526
  -613
  -704
  -800
  -898
  -999
  -1,103
  -1,208
  -1,314
  -1,421
  -1,529
  -1,639
  -1,751
  -1,864
  -1,980
  -2,098
  -2,219
  -2,343
  -2,472
  -2,605
  -2,742
  -2,884
  -3,032
  -3,187
  -3,348
  -3,516
  -3,692
  -3,876
  -4,069
Free cash flow, $m
  -856
  253
  -254
  -284
  -310
  -331
  -345
  -352
  -352
  -343
  -327
  -339
  -308
  -269
  -224
  -172
  -115
  -52
  16
  89
  166
  247
  332
  420
  512
  606
  704
  805
  909
  1,016
  1,126
Issuance/(repayment) of debt, $m
  916
  532
  622
  717
  813
  911
  1,009
  1,107
  1,203
  1,297
  1,389
  1,478
  1,566
  1,652
  1,736
  1,820
  1,903
  1,985
  2,069
  2,153
  2,240
  2,328
  2,420
  2,514
  2,613
  2,716
  2,824
  2,937
  3,057
  3,182
  3,314
Issuance/(repurchase) of shares, $m
  0
  0
  227
  254
  275
  292
  301
  304
  300
  288
  268
  275
  240
  198
  149
  94
  33
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash from financing (excl. dividends), $m  
  911
  532
  849
  971
  1,088
  1,203
  1,310
  1,411
  1,503
  1,585
  1,657
  1,753
  1,806
  1,850
  1,885
  1,914
  1,936
  1,985
  2,069
  2,153
  2,240
  2,328
  2,420
  2,514
  2,613
  2,716
  2,824
  2,937
  3,057
  3,182
  3,314
Total cash flow (excl. dividends), $m
  54
  784
  368
  432
  503
  580
  664
  755
  851
  953
  1,061
  1,139
  1,258
  1,383
  1,512
  1,647
  1,788
  1,934
  2,085
  2,243
  2,406
  2,575
  2,751
  2,934
  3,125
  3,322
  3,528
  3,742
  3,965
  4,198
  4,440
Retained Cash Flow (-), $m
  -769
  -510
  -596
  -686
  -778
  -872
  -966
  -1,059
  -1,151
  -1,241
  -1,329
  -1,415
  -1,499
  -1,581
  -1,662
  -1,741
  -1,821
  -1,900
  -1,980
  -2,061
  -2,143
  -2,228
  -2,315
  -2,406
  -2,500
  -2,599
  -2,702
  -2,811
  -2,925
  -3,045
  -3,172
Prev. year cash balance distribution, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
 
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
 
  274
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  34
  105
  182
  263
  347
  436
  528
  624
  723
  826
  931
  1,041
  1,153
  1,269
Discount rate, %
 
  7.50
  7.88
  8.27
  8.68
  9.12
  9.57
  10.05
  10.55
  11.08
  11.63
  12.22
  12.83
  13.47
  14.14
  14.85
  15.59
  16.37
  17.19
  18.05
  18.95
  19.90
  20.89
  21.94
  23.04
  24.19
  25.40
  26.67
  28.00
  29.40
  30.87
PV of cash for distribution, $m
 
  255
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  3
  6
  8
  8
  8
  7
  6
  4
  3
  2
  2
  1
  1
  0
Current shareholders' claim on cash, %
  100
  100.0
  95.0
  90.8
  87.2
  84.2
  81.6
  79.5
  77.8
  76.4
  75.2
  74.2
  73.5
  72.9
  72.5
  72.3
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2
  72.2

Snyder’s-Lance, Inc. manufactures, distributes, markets, and sells snack food products in the United States. Its products include pretzels, sandwich crackers, kettle cooked chips, pretzel crackers, cookies, potato chips, tortilla chips, nuts, restaurant style crackers, and other salty snacks. The company sells its products under the Snyder’s of Hanover, Lance, Cape Cod, Snack Factory Pretzel Crisps, Late July, Tom’s, Archway, Jays, Stella D’oro, EatSmart Snacks, Krunchers! and O-Ke-Doke brands. It also purchases and sells cake products and meat snacks under its brands; and sells partner brand products. Snyder’s-Lance, Inc. sells its products through direct-store-delivery network, third-party distributors, and directly to grocery/mass merchandisers, club stores, discount stores, convenience stores, and food service establishments, as well as various other retail customers, such as drug stores, schools, military and government facilities, recreational facilities, offices, and other independent retailers. The company was formerly known as Lance, Inc. and changed its name to Snyder’s-Lance, Inc. in December 2010. Snyder’s-Lance, Inc. was founded in 1912 and is headquartered in Charlotte, North Carolina.

FINANCIAL RATIOS  of  Snyders-Lance (LNCE)

Valuation Ratios
P/E Ratio 226.2
Price to Sales 1.6
Price to Book 1.8
Price to Tangible Book
Price to Cash Flow 13
Price to Free Cash Flow 18.1
Growth Rates
Sales Growth Rate 27.4%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate 43.1%
Cap. Spend. - 3 Yr. Gr. Rate -0.5%
Financial Strength
Quick Ratio 1
Current Ratio 0.1
LT Debt to Equity 67.1%
Total Debt to Equity 69.7%
Interest Coverage 3
Management Effectiveness
Return On Assets 1.2%
Ret/ On Assets - 3 Yr. Avg. 5.2%
Return On Total Capital 0.6%
Ret/ On T. Cap. - 3 Yr. Avg. 5.7%
Return On Equity 1%
Return On Equity - 3 Yr. Avg. 8.4%
Asset Turnover 0.7
Profitability Ratios
Gross Margin 36.2%
Gross Margin - 3 Yr. Avg. 35.6%
EBITDA Margin 9.3%
EBITDA Margin - 3 Yr. Avg. 9.9%
Operating Margin 4.7%
Oper. Margin - 3 Yr. Avg. 5.6%
Pre-Tax Margin 3.2%
Pre-Tax Margin - 3 Yr. Avg. 4.6%
Net Profit Margin 0.7%
Net Profit Margin - 3 Yr. Avg. 5.2%
Effective Tax Rate 37.3%
Eff/ Tax Rate - 3 Yr. Avg. 36.5%
Payout Ratio 386.7%

LNCE stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the LNCE stock intrinsic value calculation we used $2109 million for the last fiscal year's total revenue generated by Snyders-Lance. The default revenue input number comes from 2016 income statement of Snyders-Lance. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our LNCE stock valuation model: a) initial revenue growth rate of 27.4% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 7.5%, whose default value for LNCE is calculated based on our internal credit rating of Snyders-Lance, is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of Snyders-Lance.
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of LNCE stock the variable cost ratio is equal to 94.5%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for LNCE stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 3.7% for Snyders-Lance.

Corporate tax rate of 27% is the nominal tax rate for Snyders-Lance. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the LNCE stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for LNCE are equal to 66.5%.

Life of production assets of 23.6 years is the average useful life of capital assets used in Snyders-Lance operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for LNCE is equal to 14.7%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $1857 million for Snyders-Lance - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 96.502 million for Snyders-Lance is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of Snyders-Lance at the current share price and the inputted number of shares is $3.4 billion.


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COMPANY NEWS

▶ Snyders-Lance CEO retires suddenly, interim leader named   [03:00PM  American City Business Journals]
▶ Story Stocks from Briefing.com   [12:27PM  Briefing.com]
▶ [$$] Snyder's-Lance Swaps CEOs, Warns of Weakness   [08:13AM  The Wall Street Journal]
▶ Three things learned from Snyders-Lance 2016 earnings   [12:38PM  American City Business Journals]
▶ Snyder's reports 4Q loss   [07:32AM  Associated Press]
▶ Snyders-Lance Declares Regular Quarterly Dividend   [Feb-10-17 08:00AM  GlobeNewswire]
▶ Are These 3 Big Brand Stocks Wildly Overvalued?   [Jan-30-17 06:28AM  at Motley Fool]
▶ Is Snyder S Lance Inc (LNCE) A Good Stock To Buy?   [Dec-12-16 08:22PM  at Insider Monkey]
▶ Snyder's-Lance Declares Regular Quarterly Dividend   [Aug-04-16 04:05PM  PR Newswire]
Stock chart of LNCE Financial statements of LNCE
Valuation of Stocks

The paper VALUATION OF STOCKS: The Quest for Intrinsic Value provides a detailed description of our valuation model and discloses the calculation algorithm.

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