TGM's two-stage DCF values Abbott Laboratories (ABT) between $59.09 and $110.35 depending on assumptions, with a base case of $76.44. Growth is taken from the company's own record (blend of 5-year revenue and FCF growth (floored at 2%)), fading to 2.5% long-run; the discount rate (7.5%) reflects its beta.
What would today's price require?
$105.52 is justified only if free cash flow grows about +9.3% a year (fading to 2.5% long-run) at a 7.5% required return — faster than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 0.5%/yr | 8.5% | $59.09 |
| Base case | 2.0%/yr | 7.5% | $76.44 |
| Optimistic | 5.0%/yr | 6.5% | $110.35 |
| Third-party model estimate (FMP) | independent reference · retrieved Sep 9, 2026 · assumptions not provided | $140.43 | |
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
$105.52
Market-Implied Growth
+9.3%/yr
vs +0.2% 5Y actual
Model Scenario Range
$59.09 – $110.35
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 ABT (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 $6.9B · 1.73B shares · net debt $5.6B
Estimated Fair Value
$76.44
-27.6% vs $105.52
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 $105.52; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $99.81 | $113 | $129 | $153 | $189 |
| 6.5% | $79.16 | $86.79 | $96.31 | $109 | $125 |
| 7.5% | $65.39 | $70.42 | $76.44 | $83.79 | $92.97 |
| 8.5% | $55.56 | $59.08 | $63.19 | $68.04 | $73.84 |
| 9.5% | $48.19 | $50.77 | $53.73 | $57.13 | $61.09 |
