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DCF Valuation
Base-case fair value
$260.40
Intrinsic $347.21 · 25% MOS
Current price: $357.03
Base-case summary
Our base-case DCF for General Electric Co (GE) projects 10 years of free cash flow growth at 20.0% for years 1–5 and 10.0% for years 6–10, anchored to 27.3% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $7.5B in trailing free cash flow, this produces an intrinsic value of $347.21 per share. A 25% safety margin gives a fair value of $260.40, suggesting the stock is currently 27% overvalued against the $357.03 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
$7.5B
Cash & equivalents
$11.0B
Total debt
$21.3B
Shares outstanding
1.1B