Encore Wire Corporation

Encore Wire manufactures and sells electrical building wires and cables in the US. They offer various wire products for residential, commercial, industrial, and renewable energy sectors. Products include NM-B, UF-B, THHN/THWN-2, XHHW-2, USE-2, RHH/RHW-2, and more. They sell to wholesale electrical distributors through independent reps. The company was incorporated in 1989 and is headquartered in Texas. As of July 2024, Encore operates as a subsidiary of Prysmian S.p.A..

Overview

Sector

Electrical Components

Target Price

266.3 USD

Current Price

289.8 USD

Potential

-8%

Strengths

Current Price to Earnings Ratio (12.15) is lower than the sector mean (49.54).
The company is well capitalized. The company has net cash and no outstanding debt.
The company has high returns. ROIC (22.01%) is higher than the sector mean (10.79%).
EV/EBITDA (8.87) is lower than the sector mean (37.04).
EV/EBIT (9.49) is lower than the sector mean.
Price to free cash flow (15.57) is lower than the sector mean.

Weaknesses

Analysts expect revenues to decline in the coming year.

Key Financial Data

Indicator	Value
PER	12.2
EV/EBITDA	8.9
Price/Free Cash Flow'	15.6
ROIC	22.0%
Net Debt/EBITDA	-0.5