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MTU Aero Engines AG (MTU Aero Engines AG) Intrinsic Value: Projected FCF : $94.26 (As of Apr. 30, 2024)


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What is MTU Aero Engines AG Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-30), MTU Aero Engines AG's Intrinsic Value: Projected FCF is $94.26. The stock price of MTU Aero Engines AG is $253.55. Therefore, MTU Aero Engines AG's Price-to-Intrinsic-Value-Projected-FCF of today is 2.7.

The historical rank and industry rank for MTU Aero Engines AG's Intrinsic Value: Projected FCF or its related term are showing as below:

MTUAF' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 2.24   Med: 3.17   Max: 4.45
Current: 2.69

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of MTU Aero Engines AG was 4.45. The lowest was 2.24. And the median was 3.17.

MTUAF's Price-to-Projected-FCF is ranked worse than
60.61% of 165 companies
in the Aerospace & Defense industry
Industry Median: 1.92 vs MTUAF: 2.69

MTU Aero Engines AG Intrinsic Value: Projected FCF Historical Data

The historical data trend for MTU Aero Engines AG's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

MTU Aero Engines AG Intrinsic Value: Projected FCF Chart

MTU Aero Engines AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 62.96 76.66 80.31 89.54 96.82

MTU Aero Engines AG Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 80.31 - 89.54 - 96.82

Competitive Comparison of MTU Aero Engines AG's Intrinsic Value: Projected FCF

For the Aerospace & Defense subindustry, MTU Aero Engines AG's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


MTU Aero Engines AG's Price-to-Projected-FCF Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, MTU Aero Engines AG's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where MTU Aero Engines AG's Price-to-Projected-FCF falls into.



MTU Aero Engines AG Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get MTU Aero Engines AG's Free Cash Flow(6 year avg) = $295.60.

MTU Aero Engines AG's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*295.60285714286+3122.137*0.8)/55.087
=96.43

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


MTU Aero Engines AG  (OTCPK:MTUAF) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

MTU Aero Engines AG's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=253.55/96.428426539324
=2.63

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


MTU Aero Engines AG Intrinsic Value: Projected FCF Related Terms

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MTU Aero Engines AG (MTU Aero Engines AG) Business Description

Address
Dachauer Strasse 665, Munich, BY, DEU, 80995
MTU Aero Engines specializes in the development and production of commercial and military aircraft engine components and spare parts. It also performs maintenance, repair, and overhaul services for aircraft engines. More than 30% of commercial aircraft have MTU technology on board. MTU is also a major assembler of aircraft engines. The commercial and military engine segment develops and manufactures engine components for new engine production and spare parts for the aftermarket. The commercial maintenance business reports MTU's MRO services.

MTU Aero Engines AG (MTU Aero Engines AG) Headlines

From GuruFocus

David Herro Comments on MTU Aero Engines

By Holly LaFon Holly LaFon 01-10-2014