HEI Valuation

HEICO Corp

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318.840

+2.93(0.927%)1D

Overview
Forecast
Valuation
Earnings

HEI Relative Valuation

HEI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, HEI is overvalued; if below, it's undervalued.

Historical Valuation

HEICO Corp (HEI) is now in the Overvalued zone, suggesting that its current forward PE ratio of 61.09 is considered Overvalued compared with the five-year average of 55.56. The fair price of HEICO Corp (HEI) is between 257.07 to 294.75 according to relative valuation methord. Compared to the current price of 316.34 USD , HEICO Corp is Overvalued By 7.32%.

Relative Value

Fair Zone

257.07-294.75

Current Price：316.34

7.32%

Overvalued

61.09

Trailing

Forward

31.35

EV/EBITDA

HEICO Corp. (HEI) has a current EV/EBITDA of 31.35. The 5-year average EV/EBITDA is 29.04. The thresholds are as follows: Strongly Undervalued below 22.41, Undervalued between 22.41 and 25.72, Fairly Valued between 32.36 and 25.72, Overvalued between 32.36 and 35.67, and Strongly Overvalued above 35.67. The current Forward EV/EBITDA of 31.35 falls within the Historic Trend Line -Fairly Valued range.

37.31

EV/EBIT

HEICO Corp. (HEI) has a current EV/EBIT of 37.31. The 5-year average EV/EBIT is 34.92. The thresholds are as follows: Strongly Undervalued below 26.61, Undervalued between 26.61 and 30.77, Fairly Valued between 39.08 and 30.77, Overvalued between 39.08 and 43.24, and Strongly Overvalued above 43.24. The current Forward EV/EBIT of 37.31 falls within the Historic Trend Line -Fairly Valued range.

8.03

HEICO Corp. (HEI) has a current PS of 8.03. The 5-year average PS is 7.25. The thresholds are as follows: Strongly Undervalued below 5.15, Undervalued between 5.15 and 6.20, Fairly Valued between 8.31 and 6.20, Overvalued between 8.31 and 9.36, and Strongly Overvalued above 9.36. The current Forward PS of 8.03 falls within the Historic Trend Line -Fairly Valued range.

37.47

P/OCF

HEICO Corp. (HEI) has a current P/OCF of 37.47. The 5-year average P/OCF is 37.77. The thresholds are as follows: Strongly Undervalued below 30.34, Undervalued between 30.34 and 34.05, Fairly Valued between 41.48 and 34.05, Overvalued between 41.48 and 45.19, and Strongly Overvalued above 45.19. The current Forward P/OCF of 37.47 falls within the Historic Trend Line -Fairly Valued range.

40.14

P/FCF

HEICO Corp. (HEI) has a current P/FCF of 40.14. The 5-year average P/FCF is 40.62. The thresholds are as follows: Strongly Undervalued below 34.78, Undervalued between 34.78 and 37.70, Fairly Valued between 43.55 and 37.70, Overvalued between 43.55 and 46.47, and Strongly Overvalued above 46.47. The current Forward P/FCF of 40.14 falls within the Historic Trend Line -Fairly Valued range.

HEICO Corp (HEI) has a current Price-to-Book (P/B) ratio of 10.62. Compared to its 3-year average P/B ratio of 8.85 , the current P/B ratio is approximately 19.92% higher. Relative to its 5-year average P/B ratio of 8.69, the current P/B ratio is about 22.25% higher. HEICO Corp (HEI) has a Forward Free Cash Flow (FCF) yield of approximately 2.04%. Compared to its 3-year average FCF yield of 2.03%, the current FCF yield is approximately 0.47% lower. Relative to its 5-year average FCF yield of 2.16% , the current FCF yield is about -5.45% lower.

10.62

P/B

Median3y

8.85

Median5y

8.69

2.04

FCF Yield

Median3y

2.03

Median5y

2.16

Competitors Valuation Multiple

The average P/S ratio for HEI's competitors is 11.06, providing a benchmark for relative valuation. HEICO Corp Corp (HEI) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 15.66%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Teledyne Technologies Inc

Performance Decomposition

Market capitalization of HEI increased by 20.82% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 992.25M to 1.15B.

The secondary factor is the Margin Expansion, contributed 11.54%to the performance.

Overall, the performance of HEI in the past 1 year is driven by Revenue Growth. Which is more sustainable.

15.66%

992.25M → 1.15B

Revenue Growth

11.54%

14.90 → 16.62

Margin Expansion

-6.38%

74.27 → 69.53

P/E Change

20.82%