Teledyne Technologies Incorporated (TDY) DCF Valuation
TGM's two-stage DCF values Teledyne Technologies Incorporated (TDY) between $335.07 and $634.15 depending on assumptions, with a base case of $455.81. 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 (8.8%) reflects its beta.
What would today's price require?
$615.35 is justified only if free cash flow grows about +20.8% a year (fading to 2.5% long-run) at a 8.8% required return — faster than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 10.8%/yr | 9.8% | $335.07 |
| Base case | 13.8%/yr | 8.8% | $455.81 |
| Optimistic | 16.8%/yr | 7.8% | $634.15 |
| Analyst DCF (FMP) | independent reference — different model | $552.83 | |
Current Price
$615.35
Market-Implied Growth
+20.8%/yr
vs +13.3% 5Y actual
Model Scenario Range
$335.07 – $634.15
model output — not a price target
TDY 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 TDY (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 $897.6M · 0.05B shares · net debt $2.1B
Estimated Fair Value
$698.33
+13.5% vs $615.35
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 13.8%/yr FCF growth and 10-year horizon fixed. Green = above today's $615.35; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 6.8% | $934 | $1010 | $1105 | $1224 | $1380 |
| 7.8% | $755 | $804 | $862 | $933 | $1020 |
| 8.8% | $626 | $660 | $698 | $744 | $797 |
| 9.8% | $530 | $554 | $580 | $611 | $647 |
| 10.8% | $455 | $473 | $492 | $513 | $538 |
About Teledyne Technologies Incorporated
Teledyne Technologies Incorporated develops and supplies advanced technologies primarily for industrial sectors experiencing growth, serving customers across the United States, Canada, the United Kingdom, Belgium, the Netherlands, and other international markets. The company's Instrumentation division provides sophisticated monitoring and control equipment for use in marine environments, environmental management, various industrial processes, and other specialized applications. It also offers electronic tools for testing and measurement, alongside connectivity devices for power and communication within distributed instrumentation setups and sensor networks. Its Digital Imaging segment specializes in a broad range of imaging solutions. This includes visible spectrum sensors and digital cameras vital for industrial machine vision, automated quality control, as well as medical, research, and scientific purposes. Additionally, it offers infrared and X-ray imaging technologies for industrial, governmental, and healthcare applications. The segment also produces microelectromechanical systems (MEMS) and semiconductors, such as analog-to-digital and digital-to-analog converters. Complementing these, it delivers complete thermal and visible-light imaging systems, locator systems, measurement and diagnostic tools, and threat detection solutions. The Aerospace and Defense Electronics segment is dedicated to supplying electronic components and subsystems, along with communication products. This encompasses defense-specific electronics, specialized environmental interconnects, data acquisition and communication gear for aircraft, components for wireless and satellite communication systems, and batteries for general aviation. Finally, the Engineered Systems segment provides comprehensive systems engineering, integration services, technology development, and manufacturing capabilities for applications in defense, space exploration, environmental protection, and energy. It also designs and manufactures advanced electrochemical energy systems and associated electronics specifically for military use. Teledyne Technologies promotes and sells its diverse portfolio of products and services through a combination of its dedicated internal sales teams and a network of external sales representatives and distributors. The company, established in 1960, maintains its corporate headquarters in Thousand Oaks, California.
- Sector
- Technology
- Industry
- Hardware, Equipment & Parts
- CEO
- George C. Bobb