Last Updated: 20 Sep 2024
Executive Summary
Frontdoor Inc. (FTDR) is a leading provider of home service plans and on-demand services to residential customers in the United States. The company has a strong track record of growth and profitability, and is well-positioned to continue to benefit from the growing demand for home services. The stock is currently trading at $48.88, which is below its 52-week high of $49.43. We believe that FTDR is a good value at this price and recommend buying the stock.
Company Overview
Frontdoor Inc. was founded in 1997 and is headquartered in Memphis, Tennessee. The company provides a wide range of home service plans, including home warranties, appliance repair plans, and pest control plans. Frontdoor also offers on-demand services, such as plumbing, electrical, and HVAC repair. The company has a network of over 15,000 service providers across the United States.
Fundamental Analysis
Frontdoor Inc. has a strong financial profile. The company has a market capitalization of $3.69 billion and an EBITDA of $348 million. The company's PERatio is 18.62, which is below the industry average. Frontdoor also has a strong balance sheet with $2.78 billion in cash and equivalents and no long-term debt.
Technical Analysis
The technical analysis of FTDR is bullish. The stock is currently trading above its 50-day moving average and its 200-day moving average. The stock is also forming a bullish pattern called a cup and handle. This pattern indicates that the stock is likely to continue to rise in the short term.
Short Term Outlook
We believe that FTDR is a good value at its current price. The stock is trading below its 52-week high and has a strong technical outlook. We expect the stock to continue to rise in the short term and recommend buying the stock.
Long Term Outlook
We believe that FTDR is a good long-term investment. The company has a strong track record of growth and profitability, and is well-positioned to continue to benefit from the growing demand for home services. We expect the stock to continue to rise in the long term and recommend buying the stock.
Analyst Recommendations
The consensus analyst rating for FTDR is "Buy". Two analysts have a "Strong Buy" rating, two analysts have a "Buy" rating, and one analyst has a "Hold" rating. The average analyst target price is $49.
