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DCF Valuation
Base-case fair value
$156.73
Intrinsic $208.98 · 25% MOS
Current price: $83.83
Base-case summary
Our base-case DCF for Spectrum Brands Holdings, Inc. (SPB) projects 10 years of free cash flow growth at 3.4% for years 1–5 and 1.7% for years 6–10, anchored to 3.4% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $290M in trailing free cash flow, this produces an intrinsic value of $208.98 per share. A 25% safety margin gives a fair value of $156.73, suggesting the stock is currently 87% undervalued against the $83.83 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
$290M
Cash & equivalents
$125M
Total debt
$726M
Shares outstanding
23M