Forgent Power Solutions, Inc. (FPS) 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

-78.4%

$5.25

vs $24.26 price

Levered DCF

$1.99

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

4.1

Safe zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

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

Metric	FY2025	FY2024	FY2023
P/E	206.89×	440.73×	-375.65×
P/B	30.13×	17.87×	12.93×
P/S	11.98×	8.89×	36.92×
EV / EBITDA	89.93×	58.69×	454.24×
Gross margin	31.4%	36.9%	37.4%
Operating margin	16.0%	9.6%	-2.6%
Net margin	5.8%	2.0%	-9.8%
Current ratio	1.54×	1.58×	2.04×
Debt / equity	1.25×	1.68×	1.01×
Interest coverage	3.99×	1.32×	-0.22×
Dividend yield	0.0%	0.2%	0.0%
Payout ratio	1.8%	87.3%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023
Return on equity	14.5%	4.1%	-3.4%
Return on invested capital	11.0%	4.4%	-0.3%
Return on assets	3.6%	1.0%	-1.3%
Free cash flow yield	-0.2%	-0.6%	-0.1%
Earnings yield	0.5%	0.2%	-0.3%
Enterprise value	$20.5B	$8.4B	$8.2B
Net debt / EBITDA	2.55×	3.65×	18.72×
Cash conversion cycle (days)	135	120	345