Carrier Global Corporation (CARR) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-22.8%

$42.31

vs $54.82 price

Levered DCF

$18.79

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.13

Grey zone

Rating

C-

Overall 1 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	30.37×	10.94×	35.68×	9.84×	28.25×	16.47×	4.92×	3.8×
P/B	3.21×	4.35×	5.54×	4.48×	6.95×	5.23×	0.74×	0.75×
P/S	2.04×	2.73×	2.54×	2.01×	2.28×	1.87×	0.56×	0.55×
EV / EBITDA	15.71×	17.14×	18.91×	9.13×	20.15×	11.64×	3.91×	2.23×
Gross margin	25.9%	26.6%	27.2%	24.9%	29.0%	29.3%	29.1%	29.4%
Operating margin	8.8%	9.3%	10.9%	11.0%	12.8%	17.7%	13.4%	19.2%
Net margin	6.8%	24.9%	7.1%	20.4%	8.1%	11.4%	11.4%	14.5%
Current ratio	1.2×	1.25×	2.8×	1.64×	1.72×	1.67×	1.33×	1.37×
Debt / equity	0.92×	0.9×	1.69×	1.21×	1.51×	1.76×	0.05×	0.02×
Interest coverage	5.53×	3.62×	6.74×	6.3×	8.29×	10.35×	33.21×	43.3×
Dividend yield	1.7%	1.1%	1.3%	1.5%	0.9%	0.4%	0.0%	0.0%
Payout ratio	52.0%	12.0%	46.0%	14.4%	25.1%	7.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	10.8%	39.8%	15.5%	45.6%	24.6%	31.7%	15.0%	19.6%
Return on invested capital	5.4%	3.6%	5.9%	7.9%	9.5%	10.7%	11.0%	14.8%
Return on assets	4.0%	15.0%	4.1%	13.5%	6.4%	7.9%	9.4%	12.6%
Free cash flow yield	3.8%	0.1%	4.5%	4.1%	4.0%	4.2%	17.5%	17.2%
Earnings yield	3.3%	9.1%	2.8%	10.2%	3.5%	6.1%	20.4%	26.3%
Enterprise value	$55.5B	$70.1B	$52.9B	$40.6B	$54.3B	$40.6B	$10.1B	$9.6B
Net debt / EBITDA	3.15×	2.14×	1.71×	1.31×	2.68×	2.27×	-0.1×	-0.2×
Cash conversion cycle (days)	39	40	23	66	42	63	55	47