TGM's two-stage DCF values Solventum Corporation (SOLV) between $73.95 and $156.94 depending on assumptions, with a base case of $104.18. Growth is taken from the company's own record (5-year revenue CAGR), fading to 2.5% long-run; the discount rate (7.7%) reflects its beta.
What would today's price require?
$79.86 is justified only if free cash flow grows about -2.1% a year (fading to 2.5% long-run) at a 7.7% required return — slower than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 0.5%/yr | 8.7% | $73.95 |
| Base case | 2.7%/yr | 7.7% | $104.18 |
| Optimistic | 5.7%/yr | 6.7% | $156.94 |
| Third-party model estimate (FMP) | independent reference · retrieved Jul 26, 2026 · assumptions not provided | $142.09 | |
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
$79.86
Market-Implied Growth
-2.1%/yr
vs +2.7% 5Y actual
Model Scenario Range
$73.95 – $156.94
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 SOLV (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 $1.1B · 0.17B shares · net debt $4.2B
Estimated Fair Value
$104.18
+30.5% vs $79.86
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 $79.86; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.7% | $140 | $159 | $184 | $219 | $268 |
| 6.7% | $109 | $120 | $135 | $153 | $177 |
| 7.7% | $87.04 | $94.86 | $104 | $115 | $129 |
| 8.7% | $71.51 | $77.06 | $83.48 | $91.03 | $100 |
| 9.7% | $59.78 | $63.88 | $68.54 | $73.88 | $80.09 |
