Roper Stock Valuation

ROP
 Stock
  

USD 433.75  0.25  0.06%   

What is the intrinsic value of Roper stock? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Roper Industries, is its stock price multiplied by the total number of shares outstanding, calculating Roper Industries' enterprise value requires a different approach. It uses Roper Industries' balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
As of 18th of August 2022, Free Cash Flow is likely to grow to about 896.9 M. Also, Enterprise Value is likely to grow to about 20.2 B.
Roper Industries holds a recent Real Value of $463.38 per share. The prevailing price of the company is $433.75. At this time, the company appears to be undervalued. Our model determines the value of Roper Industries from analyzing the company fundamentals such as Operating Margin of 38.18 %, return on equity of 8.19 %, and Shares Outstanding of 105.48 M as well as examining its technical indicators and Probability Of Bankruptcy. In general, we support obtaining undervalued entities and abandoning overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
  
Roper Industries Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Roper Industries's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Roper Most Recent Valuation Data

Price Book
3.37
Enterprise Value
50.8 B
Enterprise Value Ebitda
23.16
Price Sales
7.64
Forward PE
30.4
Trailing PE
45.59
Undervalued
Today 433.75
Please note that Roper Industries' price fluctuation is very steady at this time. Calculation of the real value of Roper Industries is based on 3 months time horizon. Increasing Roper Industries' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Roper Industries is useful when determining the fair value of the Roper stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Roper Industries. Since Roper Industries is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Roper Stock. However, Roper Industries' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
389.78
Downside
463.38
Real Value
465.04
Upside
Estimating the potential upside or downside of Roper Industries helps investors to forecast how Roper stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Roper Industries more accurately as focusing exclusively on Roper Industries' fundamentals will not take into account other important factors:
Earnings
Estimates (4)
LowProjected EPSHigh
14.1014.1214.13
Details
Hype
Prediction
LowEstimated ValueHigh
431.89433.55435.21
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
1.721.731.74
Details
9 Analysts
Consensus
LowTarget PriceHigh
375.00511.00560.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Roper Industries' intrinsic value based on its ongoing forecasts of Roper Industries' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Roper Industries' closest peers. When choosing an evaluation method for Roper Industries, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Roper Valuation Drivers Correlation

Many accounts on the financial statements of Roper Industries are highly interrelated and sometimes correlated. Consequently, when conducting Roper's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Roper
Click cells to compare fundamentals

Roper Valuation Trend

Knowing Roper Industries' actual value is paramount for traders to make sound investment determinations. Roper Industries' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Roper Industries' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Roper Industries' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Roper Market Cap

Roper Industries is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Specialty Industrial Machinery industry is at this time estimated at about 1.78 Trillion. Roper Industries holds roughly 46.32 Billion in market capitalization claiming about 2.6% of equities listed under Specialty Industrial Machinery industry.
Capitalization  Revenue  Total debt  Workforce  Valuation

Roper Industries Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Roper Industries's current stock value. Our valuation model uses many indicators to compare Roper Industries value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Roper Industries competition to find correlations between indicators driving Roper Industries's intrinsic value. More Info.
Roper Industries is currently regarded as top stock in five year return category among related companies. It is currently regarded as top stock in price to book category among related companies fabricating about  7.85  of Price to Book per Five Year Return. As of 18th of August 2022, Price to Book Value is likely to drop to 2.73. Comparative valuation analysis is a catch-all model that can be used if you cannot value Roper Industries by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Roper Industries' Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Roper Industries' earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Roper Industries' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Roper Industries and how it compares across the competition.

About Roper Industries Valuation

The stock valuation mechanism determines the current worth of Roper Industries on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Roper Industries. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Roper Industries based exclusively on its fundamental and basic technical indicators. By analyzing Roper Industries's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Roper Industries's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Roper Industries. We calculate exposure to Roper Industries's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Roper Industries's related companies.
Fiscal Year End
December
Industry
Specialty Industrial Machinery
Concentration
Industrial Conglomerates
Full Time Employees
19.3 K
Service Category
Industrial Conglomerates
Employer Id Number
51-0263969
Last ReportedProjected for 2022
Gross Profit2.1 B2.3 B
Profit Margin 19.95  18.43 
Roper Technologies, Inc. designs and develops software, and engineered products and solutions. The company was incorporated in 1981 and is based in Sarasota, Florida. Roper Industries operates under Specialty Industrial Machinery classification in the United States and is traded on New York Stock Exchange. It employs 19300 people.
Roper Industries' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Roper Industries' value is low or high relative to the company's performance and growth projections. Determining the market value of Roper Industries can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Roper Industries represents a small ownership stake in the entity. As a stockholder of Roper, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Roper Industries Dividends Analysis For Valuation

As of 18th of August 2022, Dividends per Basic Common Share is likely to grow to 1.16, while Payment of Dividends and Other Cash Distributions is likely to drop (143 M). . Roper Industries Accumulated Retained Earnings Deficit are very stable at the moment as compared to the past year. Roper Industries reported last year Accumulated Retained Earnings Deficit of 4.18 Billion. As of 18th of August 2022, Earning Before Interest and Taxes EBIT is likely to grow to about 1 B, while Price to Earnings Ratio are likely to drop 30.88.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-139.3 M-143 M
Dividend Yield 0.00805  0.007602 
Dividends per Basic Common Share 1.08  1.16 
There are various types of dividends Roper Industries can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Roper shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Roper Industries directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Roper pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Roper Industries by the value of the dividends paid out.

Roper Industries Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Roper Industries does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio1.15
Payout Ratio29.80%
Enterprise Value To Ebitda22.10
Enterprise Value To Revenue8.44

Roper Industries Current Valuation Indicators

Valuation refers to the process of determining the present value of Roper Industries and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Roper we look at many different elements of the entity such as Roper's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Roper Industries' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Roper Industries' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Roper Industries, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Roper Industries' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Roper Industries' worth.
Additionally, take a look at Your Equity Center. Note that the Roper Industries information on this page should be used as a complementary analysis to other Roper Industries' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.

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When running Roper Industries price analysis, check to measure Roper Industries' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Roper Industries is operating at the current time. Most of Roper Industries' value examination focuses on studying past and present price action to predict the probability of Roper Industries' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Roper Industries' price. Additionally, you may evaluate how the addition of Roper Industries to your portfolios can decrease your overall portfolio volatility.
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Is Roper Industries' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Roper Industries. If investors know Roper will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Roper Industries listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.063
Market Capitalization
46 B
Quarterly Revenue Growth YOY
0.1
Return On Assets
0.0423
Return On Equity
0.0819
The market value of Roper Industries is measured differently than its book value, which is the value of Roper that is recorded on the company's balance sheet. Investors also form their own opinion of Roper Industries' value that differs from its market value or its book value, called intrinsic value, which is Roper Industries' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Roper Industries' market value can be influenced by many factors that don't directly affect Roper Industries' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Roper Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine Roper Industries value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Roper Industries' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.