/
DCF Valuation
Base-case fair value
$10.22
Intrinsic $13.63 · 25% MOS
Current price: $13.16
Base-case summary
Our base-case DCF for Conagra Brands Inc. (CAG) projects 10 years of free cash flow growth at 2.0% for years 1–5 and 1.0% for years 6–10, anchored to a default 8% growth assumption, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $842M in trailing free cash flow, this produces an intrinsic value of $13.63 per share. A 25% safety margin gives a fair value of $10.22, suggesting the stock is currently 22% overvalued against the $13.16 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$842M
Cash & equivalents
$55M
Total debt
$8.1B
Shares outstanding
480M