APH · NYQ · Technology
Amphenol Corporation
Also onShortfallConsensus DriftCrosscheck
Implied value per share
USD 59.62
Market price
USD 79.84
Implied upside
-25.3%
10-year forecast · Perpetuity growth terminal value · Mid-year discounting · Base case · Price 2026-11-02 · Accounts to 2025-12-31
Current EV/EBITDA of 29.2x sits outside a defensible 3-20x band, so the exit multiple is capped at 20.0x. A multiple that far out usually means EBITDA is the wrong denominator for this business.
Value Per Share
Same forecast, different terminal treatment. Percentages vs price.
Forecast Cashflows
Reporting currency (USD). Outflows negative.
| Line | FY26 | FY27 | FY28 | FY29 | FY30 | FY31 | FY32 | FY33 | FY34 | FY35 | CAGR |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | USD 34.6bn | USD 43.3bn | USD 52.9bn | USD 63.1bn | USD 73.5bn | USD 83.6bn | USD 92.7bn | USD 100.2bn | USD 105.5bn | USD 108.2bn | +13.5% |
| EBIT | USD 7.7bn | USD 9.6bn | USD 11.7bn | USD 14.0bn | USD 16.3bn | USD 18.5bn | USD 20.6bn | USD 22.2bn | USD 23.4bn | USD 24.0bn | +13.5% |
| NOPAT | USD 6.1bn | USD 7.6bn | USD 9.3bn | USD 11.1bn | USD 12.9bn | USD 14.6bn | USD 16.2bn | USD 17.6bn | USD 18.5bn | USD 19.0bn | +13.5% |
| Add depreciation & amortisation | USD 1.2bn | USD 1.5bn | USD 1.9bn | USD 2.2bn | USD 2.6bn | USD 2.9bn | USD 3.3bn | USD 3.5bn | USD 3.7bn | USD 3.8bn | +13.5% |
| Less capital expenditure | USD -1.3bn | USD -1.7bn | USD -2.2bn | USD -2.9bn | USD -3.5bn | USD -4.3bn | USD -5.0bn | USD -5.7bn | USD -6.3bn | USD -6.7bn | +20.3% |
| Capex, % of revenue | 3.7% | 4.0% | 4.2% | 4.5% | 4.8% | 5.1% | 5.4% | 5.7% | 5.9% | 6.2% | - |
| Less increase in working capital | USD -3.1bn | USD -2.3bn | USD -2.6bn | USD -2.7bn | USD -2.8bn | USD -2.7bn | USD -2.4bn | USD -2.0bn | USD -1.4bn | USD -704.7m | -15.1% |
| Free cashflow to firm | USD 2.9bn | USD 5.1bn | USD 6.3bn | USD 7.7bn | USD 9.2bn | USD 10.6bn | USD 12.1bn | USD 13.4bn | USD 14.5bn | USD 15.3bn | +20.2% |
| Discount factor | 0.9557 | 0.8728 | 0.7971 | 0.7279 | 0.6648 | 0.6071 | 0.5545 | 0.5064 | 0.4625 | 0.4224 | - |
| Present value | USD 2.8bn | USD 4.4bn | USD 5.0bn | USD 5.6bn | USD 6.1bn | USD 6.5bn | USD 6.7bn | USD 6.8bn | USD 6.7bn | USD 6.5bn | - |
| Present Value Of The Forecast | USD 57.1bn | ||||||||||
Discount Rate
Source shown per component. All overridable above.
| Risk-free rate | 4.89% | US 10-year Treasury (^TNX), 2026-11-02 |
| Equity risk premium | 4.23% | Damodaran, January 2026 |
| Beta | 1.187 | Reported 1.279, pulled toward 1.0 (Blume) |
| Cost of equity | 9.91% | Risk-free + beta x equity risk premium |
| Cost of debt | 5.29% | Risk-free + 40bp, the spread for a AAA rating at 16.2x interest cover. Book interest / average debt was lower, at 3.3%. |
| Market capitalisation | USD 197.1bn | 92.7% of capital |
| Total debt | USD 15.5bn | 7.3% of capital, book value as a proxy |
| Tax rate | 21.0% | Effective, capped at statutory |
| WACC | 9.50% | E/V x Re + D/V x Rd x (1 - t) |
Terminal Value
Perpetuity growth is intrinsic. The exit multiple defaults to the company's current EV/EBITDA, so it answers a different question - what the shares are worth if today's rating holds and EBITDA grows as forecast.
Perpetuity growth at 2.50%
63% of EV
- Forecast FCFF, final year
- USD 15.3bn
- Capex at depreciation, working capital in reinvestment
- USD 19.0bn
- Less reinvestment at g/ROIC (15.4% of NOPAT)
- USD -2.9bn
- Capitalised
- USD 16.0bn
- ROIC (reported)
- 16.2%
- Terminal value, undiscounted
- USD 235.0bn
- Terminal value, discounted
- USD 99.2bn
- Enterprise value
- USD 156.4bn
- Less net debt
- USD 4.1bn
- Equity value
- USD 152.3bn
Exit at 20.0x EBITDA
80% of EV
- Terminal value, undiscounted
- USD 556.2bn
- Terminal value, discounted
- USD 234.9bn
- Enterprise value
- USD 292.1bn
- Less net debt
- USD 4.1bn
- Equity value
- USD 288.0bn
Spread between methods: 62%.
Sensitivity
Value per share (USD) by discount rate and long-run growth.
| Long-run growth | |||||
|---|---|---|---|---|---|
| Discount rate | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
| 7.50% | 81.73 | 84.54 | 88.01 | 92.35 | 97.90 |
| 8.50% | 68.05 | 69.56 | 71.39 | 73.64 | 76.42 |
| 9.50% | 57.90 | 58.67 | 59.62 | 60.77 | 62.18 |
| 10.50% | 50.08 | 50.42 | 50.86 | 51.40 | 52.08 |
| 11.50% | 43.89 | 43.97 | 44.10 | 44.29 | 44.55 |
Outlined: this model. Green text: above today's price of 79.84. Shading: distance from this model's own value.
Priced In
What each input would have to be to justify the current price, one at a time.
| Input | Actual | Model | Implied | Gap |
|---|---|---|---|---|
| Revenue growth, a year | 22.3% | 16.7% | 20.6% | |
| EBIT margin | 25.9% | 22.2% | 28.8% | |
| Discount rate | - | 9.5% | 7.9% |
Live formulas, not pasted numbers - edit a driver and the workbook reprices.
Yahoo Finance and RBA data. General information, not advice. Methodology.