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DCF Valuation
Base-case fair value
$218.67
Intrinsic $291.55 · 25% MOS
Current price: $212.20
Base-case summary
Our base-case DCF for TE Connectivity plc (TEL) projects 10 years of free cash flow growth at 10.1% for years 1–5 and 5.1% for years 6–10, anchored to 10.1% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $3.2B in trailing free cash flow, this produces an intrinsic value of $291.55 per share. A 25% safety margin gives a fair value of $218.67, suggesting the stock is currently 3% undervalued against the $212.20 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
$3.2B
Cash & equivalents
$1.1B
Total debt
$5.7B
Shares outstanding
295M