Solstice Advanced Materials Inc. (SOLS) DCF Valuation
TGM's two-stage DCF values Solstice Advanced Materials Inc. (SOLS) between $36.56 and $78.51 depending on assumptions, with a base case of $51.72. Growth is taken from the company's own record (5-year revenue CAGR), fading to 2.5% long-run; the discount rate (7.5%) reflects its beta.
What would today's price require?
$86.66 is justified only if free cash flow grows about +13.2% 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% | $36.56 |
| Base case | 2.7%/yr | 7.5% | $51.72 |
| Optimistic | 5.7%/yr | 6.5% | $78.51 |
| Analyst DCF (FMP) | independent reference — different model | $92.47 | |
Current Price
$86.66
Market-Implied Growth
+13.2%/yr
Model Scenario Range
$36.56 – $78.51
model output — not a price target
SOLS 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 SOLS (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 $483.0M · 0.16B shares · net debt $1.8B
Estimated Fair Value
$52.18
-39.8% vs $86.66
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 2.7%/yr FCF growth and 10-year horizon fixed. Green = above today's $86.66; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $74.11 | $82.87 | $94.55 | $111 | $135 |
| 6.5% | $56.80 | $61.81 | $68.07 | $76.11 | $86.84 |
| 7.5% | $45.28 | $48.41 | $52.18 | $56.78 | $62.53 |
| 8.5% | $37.05 | $39.15 | $41.59 | $44.48 | $47.94 |
| 9.5% | $30.89 | $32.36 | $34.03 | $35.95 | $38.20 |
About Solstice Advanced Materials Inc.
Solstice Advanced Materials, Inc. functions as a dedicated provider of specialized materials. Its cutting-edge solutions are instrumental across numerous industries and diverse applications, encompassing refrigerants, semiconductor manufacturing processes, data center cooling systems, alternative energy technologies, high-performance protective fibers, and pharmaceutical packaging, alongside other sectors. The company maintains its corporate headquarters in Morris Plains, New Jersey.
- Sector
- Basic Materials
- Industry
- Chemicals - Specialty
- CEO
- David Sewell