StandardAero, Inc. (SARO) 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

-206.5%

-$26.61

vs $24.98 price

Levered DCF

$23.30

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

2.4

Grey zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

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

Metric	FY2025	FY2024	FY2023	FY2022	FY2021
P/E	34.14×	651.58×	-327.5×	-521.5×	-356.75×
P/B	3.53×	3.01×	9.55×	9.14×	0×
P/S	1.55×	1.36×	2.4×	2.64×	3.15×
EV / EBITDA	15.55×	17.14×	27.88×	30.93×	0×
Gross margin	14.8%	14.4%	13.9%	13.1%	12.0%
Operating margin	9.1%	7.7%	7.4%	6.3%	4.5%
Net margin	4.6%	0.2%	-0.8%	-0.5%	-0.9%
Current ratio	2.2×	1.95×	2×	2.08×	0×
Debt / equity	0.92×	1.02×	2.94×	2.81×	0×
Interest coverage	3.16×	1.38×	1.03×	1.08×	0.77×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021
Return on equity	10.4%	0.5%	-3.1%	-1.8%	0.0%
Return on invested capital	7.7%	1.1%	-48.8%	-5.2%	0.0%
Return on assets	4.2%	0.2%	-0.6%	-0.4%	0.0%
Free cash flow yield	2.2%	-0.7%	-0.2%	-0.2%	0.6%
Earnings yield	2.9%	0.2%	-0.3%	-0.2%	-0.3%
Enterprise value	$11.6B	$9.5B	$14.3B	$14.2B	$0
Net debt / EBITDA	2.9×	4.19×	6.48×	7.07×	0×
Cash conversion cycle (days)	115	121	129	117	0