Is Stanley Black & Decker, Inc. (SWK) overvalued or undervalued?

At a recent price of $96.89, Stanley Black & Decker, Inc. (SWK) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $53.12 and $492.06 per share, and they disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.

The valuation discounts Stanley Black & Decker, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 9.0%, with a long-run terminal growth rate of 2.5%. About 74% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly -4.2% annual revenue growth for SWK. Our base case instead assumes about 2.2% average growth over the forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, SWK's modeled DCF value ranges from about $98.04 to $243.60 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what Stanley Black & Decker, Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of SWK's intrinsic value. Figures update as new filings and prices come in.