Roper Technologies, Inc. (ROP) DCF Valuation
TGM's two-stage DCF values Roper Technologies, Inc. (ROP) between $296.32 and $633.76 depending on assumptions, with a base case of $428.99. 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 (8%) reflects its beta.
What would today's price require?
$330.26 is justified only if free cash flow grows about +4.0% a year (fading to 2.5% long-run) at a 8% required return — slower than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 6.1%/yr | 9.0% | $296.32 |
| Base case | 9.1%/yr | 8.0% | $428.99 |
| Optimistic | 12.1%/yr | 7.0% | $633.76 |
| Analyst DCF (FMP) | independent reference — different model | $1,215.00 | |
Current Price
$330.26
Market-Implied Growth
+4.0%/yr
vs +8.9% 5Y actual
Model Scenario Range
$296.32 – $633.76
model output — not a price target
ROP 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 ROP (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 $2.1B · 0.10B shares · net debt $9.0B
Estimated Fair Value
$568.46
+72.1% vs $330.26
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 9.1%/yr FCF growth and 10-year horizon fixed. Green = above today's $330.26; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 6.0% | $793 | $876 | $982 | $1124 | $1323 |
| 7.0% | $618 | $668 | $729 | $805 | $903 |
| 8.0% | $498 | $530 | $568 | $614 | $670 |
| 9.0% | $411 | $433 | $458 | $488 | $523 |
| 10.0% | $344 | $360 | $378 | $398 | $421 |
About Roper Technologies, Inc.
Roper Technologies, Inc., established in 1981 and based in Sarasota, Florida (formerly known as Roper Industries, Inc. until 2015), operates as a diversified technology company. It specializes in developing and delivering advanced software solutions alongside highly engineered products for a wide range of industries. Its extensive software portfolio includes enterprise and financial management systems, cloud-based analytics for sectors like insurance and healthcare, campus and supply chain management tools, and specialized applications for areas such as foodservice, visual effects, and data collaboration. Complementing this, Roper designs and manufactures a diverse array of engineered products, encompassing precision testing instruments for materials like rubber and plastic, medical devices (such as ultrasound accessories), flow and control components (including valves, pumps, and meters), automated dispensing and monitoring equipment (like leak detection and vibration monitoring systems), and various sensors for industrial and utility applications.
- Sector
- Technology
- Industry
- Software - Application
- CEO
- Laurence Neil Hunn