DCF Valuation
Base-case fair value
$295.05
Intrinsic $393.40 · 25% MOS
Current price: $333.72
Base-case summary
Our base-case DCF for Esco Technologies Inc (ESE) projects 10 years of free cash flow growth at 18.4% for years 1–5 and 9.2% for years 6–10, anchored to 18.4% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $224M in trailing free cash flow, this produces an intrinsic value of $393.40 per share. A 25% safety margin gives a fair value of $295.05, suggesting the stock is currently 12% overvalued against the $333.72 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
$224M
Cash & equivalents
$92M
Total debt
$213M
Shares outstanding
26M