frontdoor, inc. provides home service plans in the United States. More Details
Reasonable growth potential and slightly overvalued.
Share Price & News
How has frontdoor's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FTDR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: FTDR's weekly volatility (4%) has been stable over the past year.
7 Day Return
US Consumer Services
1 Year Return
US Consumer Services
Return vs Industry: FTDR exceeded the US Consumer Services industry which returned 25.7% over the past year.
Return vs Market: FTDR underperformed the US Market which returned 57.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is frontdoor's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StThe Returns On Capital At frontdoor (NASDAQ:FTDR) Don't Inspire Confidence
1 month ago | Simply Wall StAre Insiders Buying frontdoor, inc. (NASDAQ:FTDR) Stock?
2 months ago | Simply Wall StIs There An Opportunity With frontdoor, inc.'s (NASDAQ:FTDR) 35% Undervaluation?
Is frontdoor undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FTDR ($55.37) is trading below our estimate of fair value ($95.01)
Significantly Below Fair Value: FTDR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FTDR is poor value based on its PE Ratio (42.1x) compared to the US Consumer Services industry average (26.1x).
PE vs Market: FTDR is poor value based on its PE Ratio (42.1x) compared to the US market (22.3x).
Price to Earnings Growth Ratio
PEG Ratio: FTDR is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: FTDR has negative assets, so we can't compare its PB Ratio to the US Consumer Services industry average.
How is frontdoor forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FTDR's forecast earnings growth (19% per year) is above the savings rate (2%).
Earnings vs Market: FTDR's earnings (19% per year) are forecast to grow faster than the US market (18.6% per year).
High Growth Earnings: FTDR's earnings are forecast to grow, but not significantly.
Revenue vs Market: FTDR's revenue (10.4% per year) is forecast to grow faster than the US market (9.9% per year).
High Growth Revenue: FTDR's revenue (10.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FTDR's Return on Equity is forecast to be very high in 3 years time (49.6%).
How has frontdoor performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FTDR has high quality earnings.
Growing Profit Margin: FTDR's current net profit margins (7.6%) are lower than last year (11.2%).
Past Earnings Growth Analysis
Earnings Trend: FTDR's earnings have grown by 0.7% per year over the past 5 years.
Accelerating Growth: FTDR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: FTDR had negative earnings growth (-26.8%) over the past year, making it difficult to compare to the Consumer Services industry average (-0.4%).
Return on Equity
High ROE: FTDR's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is frontdoor's financial position?
Financial Position Analysis
Short Term Liabilities: FTDR has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: FTDR has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: FTDR has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: FTDR's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: FTDR's debt is well covered by operating cash flow (20.3%).
Interest Coverage: FTDR's interest payments on its debt are well covered by EBIT (3.8x coverage).
What is frontdoor current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate FTDR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate FTDR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if FTDR's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if FTDR's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of FTDR's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rex Tibbens (51 yo)
Mr. Rexford J. Tibbens also known as Rex, has been President and Chief Executive Officer of frontdoor, inc. since May 15, 2018 and as its Director since September 2018. He serves as a Director at Arrival L...
CEO Compensation Analysis
Compensation vs Market: Rex's total compensation ($USD5.27M) is about average for companies of similar size in the US market ($USD5.10M).
Compensation vs Earnings: Rex's compensation has been consistent with company performance over the past year.
Experienced Management: FTDR's management team is considered experienced (2.4 years average tenure).
Experienced Board: FTDR's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
frontdoor, inc.'s company bio, employee growth, exchange listings and data sources
- Name: frontdoor, inc.
- Ticker: FTDR
- Exchange: NasdaqGS
- Founded: 1971
- Industry: Specialized Consumer Services
- Sector: Consumer Services
- Market Cap: US$4.709b
- Shares outstanding: 85.56m
- Website: https://www.frontdoorhome.com
Number of Employees
- frontdoor, inc.
- 150 Peabody Place
- Suite 300
- United States
frontdoor, inc. provides home service plans in the United States. The company’s home service plans cover the repair or replacement of principal components of approximately 20 home systems and appliances, i...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/13 23:51|
|End of Day Share Price||2021/04/13 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.