TGM's two-stage DCF values Smithfield Foods, Inc. (SFD) between $25.76 and $47.92 depending on assumptions, with a base case of $33.26. Growth is taken from the company's own record (5-year revenue CAGR (floored at 2%)), fading to 2.5% long-run; the discount rate (7.5%) reflects its beta.
What would today's price require?
$21.94 is justified only if free cash flow grows about -7.0% a year (fading to 2.5% long-run) at a 7.5% required return.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 0.5%/yr | 8.5% | $25.76 |
| Base case | 2.0%/yr | 7.5% | $33.26 |
| Optimistic | 5.0%/yr | 6.5% | $47.92 |
| Third-party model estimate (FMP) | independent reference · retrieved Aug 31, 2026 · assumptions not provided | $90.94 | |
The FMP figure is a third-party point estimate. Its cash-flow forecast, discount rate, terminal growth, and valuation date are not included in the stored response, so TGMCharts presents it only as a reference—not as an intrinsic-value conclusion or price target.
Current Price
$21.94
Market-Implied Growth
-7.0%/yr
Model Scenario Range
$25.76 – $47.92
model output — not a price target
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for SFD (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 $675.5M · 0.39B shares · net debt $464.0M
Estimated Fair Value
$33.26
+51.6% vs $21.94
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 2.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $21.94; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $43.36 | $48.85 | $56.16 | $66.39 | $81.72 |
| 6.5% | $34.44 | $37.73 | $41.85 | $47.14 | $54.18 |
| 7.5% | $28.49 | $30.66 | $33.26 | $36.44 | $40.41 |
| 8.5% | $24.24 | $25.76 | $27.53 | $29.63 | $32.14 |
| 9.5% | $21.05 | $22.17 | $23.44 | $24.91 | $26.63 |