Franklin Electric Co., Inc. (FELE) 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

-36.4%

$63.76

vs $100.30 price

Levered DCF

$98.61

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

4.39

Safe zone

Rating

A-

Overall 4 / 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	29.3×	24.86×	23.18×	19.79×	28.65×	32.04×	28.1×	18.89×
P/B	3.25×	3.53×	3.7×	3.46×	4.64×	3.77×	3.33×	2.72×
P/S	2.02×	2.21×	2.16×	1.81×	2.64×	2.56×	2.02×	1.54×
EV / EBITDA	16.53×	15.1×	14.81×	13.16×	19.14×	19.37×	16.89×	12.71×
Gross margin	35.5%	35.5%	33.8%	33.8%	34.7%	34.7%	32.6%	33.3%
Operating margin	12.8%	12.1%	12.7%	12.6%	11.4%	10.5%	9.7%	10.2%
Net margin	6.9%	8.9%	9.4%	9.2%	9.3%	8.1%	7.3%	8.2%
Current ratio	2.79×	2.22×	2.97×	2.11×	1.83×	3.04×	3.05×	2.27×
Debt / equity	0.18×	0.15×	0.13×	0.25×	0.25×	0.15×	0.18×	0.28×
Interest coverage	25.56×	38.56×	22.26×	22.32×	36.41×	28.21×	15.42×	13.42×
Dividend yield	1.2%	1.0%	0.9%	1.0%	0.8%	0.9%	1.0%	1.1%
Payout ratio	34.0%	26.0%	21.6%	19.7%	21.7%	29.5%	29.0%	21.4%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	11.1%	14.2%	16.0%	17.5%	16.3%	11.8%	12.0%	14.4%
Return on invested capital	12.6%	12.5%	14.3%	14.4%	12.0%	9.9%	10.0%	11.1%
Return on assets	7.6%	9.9%	11.2%	11.1%	9.8%	7.9%	8.0%	9.0%
Free cash flow yield	4.5%	4.9%	6.1%	1.6%	2.3%	5.9%	5.9%	5.3%
Earnings yield	3.4%	4.0%	4.3%	5.1%	3.5%	3.1%	3.6%	5.3%
Enterprise value	$4.4B	$4.4B	$4.5B	$3.9B	$4.6B	$3.2B	$2.7B	$2.1B
Net debt / EBITDA	0.5×	-0.1×	0.23×	0.74×	0.82×	-0.03×	0.48×	0.87×
Cash conversion cycle (days)	143	132	134	151	139	139	138	149