DCF Valuation
Base-case fair value
$75.64
Intrinsic $100.85 · 25% MOS
Current price: $351.88
Base-case summary
Our base-case DCF for Wesco International Inc (WCC) projects 10 years of free cash flow growth at 20.0% for years 1–5 and 10.0% for years 6–10, anchored to 77.0% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $216M in trailing free cash flow, this produces an intrinsic value of $100.85 per share. A 25% safety margin gives a fair value of $75.64, suggesting the stock is currently 79% overvalued against the $351.88 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
$216M
Cash & equivalents
$697M
Total debt
$6.6B
Shares outstanding
50M