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Terex (TEX) Peter Lynch Fair Value

: $135.61 (As of Today)
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Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, Terex's PEG is 1. Terex's 5-Year TTM EBITDA Growth Rate is 17.89. Terex's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 was $7.58. Therefore, the Peter Lynch Fair Value for today is $135.61.

As of today (2024-04-19), Terex's share price is $59.77. Terex's Peter Lynch fair value is $135.61. Therefore, Terex's Price to Peter Lynch Fair Value Ratio for today is 0.44.


The historical rank and industry rank for Terex's Peter Lynch Fair Value or its related term are showing as below:

TEX' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.42   Med: 0.55   Max: 0.68
Current: 0.44


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Terex was 0.68. The lowest was 0.42. And the median was 0.55.


TEX's Price-to-Peter-Lynch-Fair-Value is ranked better than
74.12% of 85 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 0.76 vs TEX: 0.44

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


Terex Peter Lynch Fair Value Historical Data

The historical data trend for Terex's Peter Lynch Fair Value 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.

Terex Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Peter Lynch Fair Value
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - 135.61

Terex Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Peter Lynch Fair Value 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 Premium Member Only Premium Member Only Premium Member Only - - 39.00 81.80 135.61

Competitive Comparison

For the Farm & Heavy Construction Machinery subindustry, Terex's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value 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.


Terex Price-to-Peter-Lynch-Fair-Value Distribution

For the Farm & Heavy Construction Machinery industry and Industrials sector, Terex's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where Terex's Price-to-Peter-Lynch-Fair-Value falls into.



Terex Peter Lynch Fair Value Calculation

Terex's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 17.89 *7.58
=135.61

Terex's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $7.58.


* 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.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


Terex  (NYSE:TEX) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 17.89 instead of 15 in this case.

Terex's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=59.77/135.61
=0.44

* 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.


Terex Peter Lynch Fair Value Related Terms

Thank you for viewing the detailed overview of Terex's Peter Lynch Fair Value provided by GuruFocus.com. Please click on the following links to see related term pages.


Terex (TEX) Business Description

Traded in Other Exchanges
Address
45 Glover Avenue, 4th Floor, Norwalk, CT, USA, 06850
Terex is a global manufacturer of aerial work platforms, materials processing equipment, and specialty equipment, such as material handlers, cranes, and concrete mixer trucks. Its current composition is a result of numerous acquisitions over several decades and a recent shift to focus on its two core segments after divesting a handful of underperforming businesses. Terex's remaining segments see heavy demand in nonresidential construction as well as in maintenance, manufacturing, energy, and materials management.
Executives
Garrison John L Jr officer: CEO AND PRESIDENT C/O TEREX CORPORATION, 200 NYALA FARM ROAD, WESTPORT CT 06880
Amy George officer: Senior V.P. Human Resources C/O TEREX CORPORATION, 200 NYALA FARMS ROAD, WESTPORT CT 06880
Stephen Johnston officer: Chief Accounting Officer C/O TEREX CORP, 200 NYALA FARM ROAD, WESTPOT CT 06880
David A Sachs director C/O TEREX CORP, 200 NYALA FARM ROAD, WESTPORT CT 06880
Julie A Beck officer: Senior Vice President, Finance ONE INVACARE WAY, ELYRIA OH 44035
Andra Rush director C/O TEREX CORPORATION, 200 NYALA FARM ROAD, WESTPORT CT 06880
Oluseun Salami director C/O TEREX CORPORATION, 45 GLOVER AVENUE, NORWALK CT 06850
Kieran Hegarty officer: President, Materials Processin C/O TEREX CORPORATION, 200 NYALA FARM ROAD, WESTPORT CT 06880
Simon Meester officer: President - Genie C/O TEREX CORP, 45 GLOVER AVENUE, 4TH FLOOR, NORWALK CT 06850
Scott Posner officer: Senior V.P., Gen Counsel Sec. C/O TEREX CORPORATION, 200 NYALA FARM ROAD, WESTPORT CT 06880
Paula H Cholmondeley director 221 W PHILADELPHIA ST, SUITE 60W, YORK PA 17401-2991
John D Sheehan officer: Senior Vice President, CFO 5725 DELPHI DRIVE, TROY MI 48098
Mark I Clair officer: VP Controller & CAO C/O HEXCEL CORPORATION, 281 TRESSER BOULEVARD, STAMFORD CT 06901
Christopher Rossi director C/O KENNAMETAL INC., 525 WILLIAM PENN PLACE, 33RD FLOOR, PITTSBURGH PA 15219
Matthew Fearon officer: President Terex AWP C/O TEREX CORPORATION, 200 NYALA FARM ROAD, WESTPORT CT 06880