IDEX Corporation (IEX) DCF Valuation
TGM's two-stage DCF values IDEX Corporation (IEX) between $93.11 and $175.15 depending on assumptions, with a base case of $126.49. Growth is taken from the company's own record (blend of 5-year revenue and FCF growth), fading to 2.5% long-run; the discount rate (9.1%) reflects its beta.
What would today's price require?
$228.07 is justified only if free cash flow grows about +18.5% a year (fading to 2.5% long-run) at a 9.1% required return — faster than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 2.2%/yr | 10.1% | $93.11 |
| Base case | 5.2%/yr | 9.1% | $126.49 |
| Optimistic | 8.2%/yr | 8.1% | $175.15 |
| Analyst DCF (FMP) | independent reference — different model | $215.28 | |
Current Price
$228.07
Market-Implied Growth
+18.5%/yr
vs +2.5% 5Y actual
Model Scenario Range
$93.11 – $175.15
model output — not a price target
IEX DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for IEX (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $609.9M · 0.07B shares · net debt $1.2B
Estimated Fair Value
$139.98
-38.6% vs $228.07
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.2%/yr FCF growth and 10-year horizon fixed. Green = above today's $228.07; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 7.1% | $183 | $196 | $212 | $231 | $256 |
| 8.1% | $151 | $159 | $169 | $181 | $196 |
| 9.1% | $128 | $133 | $140 | $148 | $157 |
| 10.1% | $110 | $114 | $118 | $124 | $130 |
| 11.1% | $95.51 | $98.55 | $102 | $106 | $110 |
About IDEX Corporation
IDEX Corporation is an international enterprise specializing in engineered solutions across diverse sectors. The company operates through three primary business units: Fluid & Metering Technologies (FMT), Health & Science Technologies (HST), and Fire & Safety/Diversified Products (FSDP). The FMT division is responsible for the design, production, and distribution of a range of fluid-handling equipment, including positive displacement pumps, flow meters, and injectors, alongside offering flow monitoring and related services. Its applications span the food, chemical, general industrial, water management, agricultural, and energy industries. Under the HST umbrella, IDEX develops and supplies precision components and systems for health and scientific applications. This includes advanced fluidic devices, various types of pumps (rotary lobe, centrifugal, positive displacement), roll compaction and drying technologies, pneumatic components, and sealing solutions, as well as biocompatible medical devices, optical components, and precision photonic solutions. Key markets for this segment encompass food and beverage, pharmaceutical, cosmetics, marine, chemical, wastewater treatment, life sciences, research, and defense. Finally, the FSDP segment delivers critical equipment for emergency services, such as firefighting pumps, valves, rescue tools, and lifting bags. It also provides engineered stainless steel banding and clamping devices for industrial and commercial use, alongside specialized precision equipment for dispensing, metering, and mixing colorants and paints for retail and commercial clients. IDEX Corporation was founded in 1987 and maintains its headquarters in Northbrook, Illinois.
- Sector
- Industrials
- Industry
- Industrial - Machinery
- CEO
- Eric D. Ashleman