APH Fair Value Estimate
$129.881.5% undervalued
Blended fair value estimate based on DCF, Graham Number, and earnings-based models.
Amphenol Corp - Class A
Exchange: NYSESector: TechnologyIndustry: Electronic Components
Amphenol Corporation is one of the world’s largest designers, manufacturers and marketers of electrical, electronic and fiber optic connectors and interconnect systems, antennas, sensors and sensor-based products and coaxial and high-speed specialty cable. Amphenol designs, manufactures and assembles its products at facilities in approximately 40 countries around the world and sells its products through its own global sales force, independent representatives and a global network of electronics distributors. Amphenol has a diversified presence as a leader in high-growth areas of the interconnect market including: Automotive, Commercial Aerospace, Communications Networks, Defense, Industrial, Information Technology and Data Communications and Mobile Devices.
Did you know?
Generated $4.5 in free cash flow for every $1 of capital expenditure in FY25.
Current Price
$128.00
+0.23%GoodMoat Value
$129.88
1.5% undervaluedProfile
Valuation (TTM)
Market Cap$156.68B
P/E36.69
EV$164.02B
P/B11.68
Shares Out1.22B
P/Sales6.78
Revenue$23.09B
EV/EBITDA23.45
Amphenol Corp - Class A (APH) Valuation
GoodMoat Analysis
Amphenol appears unfavourable from a strict value investing perspective, trading at a minimal discount to its fair value estimate with a high P/E multiple. The stock lacks a meaningful margin of safety and is priced for near-perfect execution of its recent high growth rate.
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Based on the GoodMoat framework, the valuation assessment for Amphenol is unfavourable. The current price of $128.73 is essentially at parity with the GoodMoat Target of $129.88, resulting in a negligible margin of safety of less than 1%. This falls far short of the framework's 'Favourable' threshold of a 20-40% margin of safety and is even below the 'Marginal' band of 10-20%. The stock's P/E of 36.9x is significantly elevated, especially when considering the sector's average P/E is typically in the 20-30x range. While the company's impressive 49.1% YoY revenue growth can partially justify a premium, the P/E is high relative to its own historical norms and demands sustained, exceptional growth to be reasonable. The low Free Cash Flow Yield of 2.8% (implying a high P/FCF multiple) further supports the view that the stock is fully valued. For a value investor seeking a margin of safety, the current price offers no discount to the estimated intrinsic value and embeds high growth expectations, making the risk/reward profile unattractive.
APH Valuation Metrics
FCF$4.39B
FCF Growth Rate23.89%
EPS Growth (CAGR)23.89%
WACC10.00%
Fair Value Models
Graham Number, PEG-based, and Earnings-based models
View Fair Value →APH Valuation & Fair Value Analysis
Amphenol Corp - Class A (APH) valuation analysis using multiple fair value methodologies. GoodMoat calculates a blended fair value target using discounted cash flow (DCF) analysis, the Graham Number, and earnings-based valuation models.
The GoodMoat Fair Value target for Amphenol Corp - Class A is $129.88. The current stock price is $128.00, suggesting the stock is 1.5% undervalued.
The price-to-earnings (P/E) ratio is 36.69. Price-to-book ratio is 11.68. Price-to-sales ratio is 6.78. Enterprise value to EBITDA is 23.45. PEG ratio is 0.60.
GoodMoat's valuation models include the Graham Number (based on EPS and book value), an earnings-based model (discounted future EPS), and a PEG-adjusted valuation. The three models are averaged to produce a blended fair value estimate. Use these tools alongside the DCF calculator and reverse DCF to form a comprehensive view of Amphenol Corp - Class A's intrinsic value.