DCF Valuation
Stanley Black & Decker Inc (SWK) DCF Valuation — Is SWK overvalued?
The estimated DCF fair value of one Stanley Black & Decker Inc (SWK) share is $93.74. Compared to the current market price of $103.27, the stock is overvalued by 9.2%.
DCF fair value
$93.74
Market price
$103.27
Upside / downside
−9.2%
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Stanley Black & Decker Inc (SWK) DCF valuation FAQ
What is the DCF fair value of Stanley Black & Decker Inc (SWK)?
The discounted-cash-flow model estimates the intrinsic fair value of one Stanley Black & Decker Inc (SWK) share at $93.74, based on a 10-year projection of its cash flows converging to Damodaran industry averages.
Is Stanley Black & Decker Inc (SWK) overvalued or undervalued?
Against the current market price of $103.27, the DCF fair value of $93.74 implies SWK is overvalued by 9.2%.
How is the SWK DCF value calculated?
It is a 10-year discounted-cash-flow estimate built from Stanley Black & Decker Inc's reported fundamentals, with terminal assumptions anchored to Damodaran NYU industry datasets. The market price refreshes daily; the DCF fair value updates when Stanley Black & Decker Inc files a new quarterly or annual report.
How this SWK valuation is built
The model projects ten years of Stanley Black & Decker Inc's free cash flow to the firm and discounts each year at its own cost of capital. Rather than assuming today's growth and margins persist forever, a moat-scoring step — weighing Stanley Black & Decker Inc's ROIC-versus-WACC spread, gross-margin trend, and reinvestment efficiency — decides how many years the business holds its edge before its economics mean-revert toward the Damodaran NYU benchmarks for its industry.
WACC is rebuilt each year from an unlevered-then-relevered beta and the company's evolving capital structure; terminal value uses the Gordon growth model with a reinvestment rate tied to the return earned on new capital (goodwill stripped out to reflect operating efficiency). Every assumption — growth, margins, tax, leverage, convergence timing — is editable, and running the full interactive model adds a 10,000-draw Monte Carlo simulation and WACC-versus-terminal-growth sensitivity heatmaps.
The market price refreshes daily; the DCF fair value updates when Stanley Black & Decker Inc files a new quarterly or annual report. For educational/informational purposes only — not investment advice. Last updated 2026-08-06.