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DCF Valuation
Base-case fair value
$350.68
Intrinsic $467.57 · 25% MOS
Current price: $565.31
Base-case summary
Our base-case DCF for Valmont Industries Inc (VMI) projects 10 years of free cash flow growth at 10.4% for years 1–5 and 5.2% for years 6–10, anchored to 10.4% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $346M in trailing free cash flow, this produces an intrinsic value of $467.57 per share. A 25% safety margin gives a fair value of $350.68, suggesting the stock is currently 38% overvalued against the $565.31 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
$346M
Cash & equivalents
$160M
Total debt
$921M
Shares outstanding
20M