Terex Corporation (TEX) 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

+38.6%

$81.55

vs $58.85 price

Levered DCF

$45.53

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

Grey zone

Rating

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	FY2020	FY2019	FY2018
P/E	15.89×	9.24×	7.5×	9.75×	14.09×	268.38×	10.09×	8.59×
P/B	1.68×	1.69×	2.32×	2.48×	2.76×	2.64×	2.27×	2.41×
P/S	0.65×	0.6×	0.75×	0.66×	0.79×	0.79×	0.49×	0.46×
EV / EBITDA	8.85×	9.36×	6.08×	7.53×	9.75×	24.05×	7.5×	6.98×
Gross margin	19.4%	20.8%	22.8%	19.7%	19.5%	17.5%	20.4%	21.3%
Operating margin	8.8%	10.3%	12.4%	9.5%	8.4%	2.2%	7.7%	9.1%
Net margin	4.1%	6.5%	10.1%	6.8%	5.7%	-0.3%	1.2%	2.5%
Current ratio	2.3×	2.16×	2.01×	1.96×	1.94×	2.6×	2.32×	1.99×
Debt / equity	1.34×	1.48×	0.44×	0.73×	0.69×	1.39×	1.4×	1.42×
Interest coverage	2.68×	5.91×	10.06×	8.55×	6.37×	1.04×	3.81×	5.64×
Dividend yield	1.3%	1.5%	1.1%	1.2%	1.1%	0.3%	1.5%	1.4%
Payout ratio	20.4%	13.7%	8.3%	11.9%	15.2%	-79.2%	57.7%	26.4%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	10.5%	18.3%	31.0%	25.4%	19.9%	-1.2%	5.8%	13.2%
Return on invested capital	7.2%	9.2%	22.5%	16.0%	13.7%	2.4%	12.0%	15.3%
Return on assets	3.6%	5.8%	14.3%	9.6%	7.7%	-0.3%	1.7%	3.3%
Free cash flow yield	9.2%	6.1%	8.6%	5.2%	7.6%	6.6%	3.0%	-0.5%
Earnings yield	6.3%	10.8%	13.4%	10.3%	7.2%	-0.4%	2.6%	5.5%
Enterprise value	$5.5B	$5.4B	$4.3B	$3.5B	$3.6B	$3B	$2.9B	$2.9B
Net debt / EBITDA	3.25×	4.02×	0.53×	1.21×	1.37×	4.87×	2×	2.03×
Cash conversion cycle (days)	85	97	83	83	80	91	76	103