SWK PE Ratio & Valuation,Is SWK Overvalued

SWK Relative Valuation

SWK'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, SWK is overvalued; if below, it's undervalued.

Historical Valuation

Stanley Black & Decker Inc (SWK) is now in the Fair zone, suggesting that its current forward PE ratio of 15.05 is considered Fairly compared with the five-year average of 23.69. The fair price of Stanley Black & Decker Inc (SWK) is between 59.35 to 163.45 according to relative valuation methord.

Relative Value

Fair Zone

59.35-163.45

Current Price：78.69

Fair

15.05

9.83

EV/EBITDA

Stanley Black & Decker Inc. (SWK) has a current EV/EBITDA of 9.83. The 5-year average EV/EBITDA is 12.77. The thresholds are as follows: Strongly Undervalued below 7.67, Undervalued between 7.67 and 10.22, Fairly Valued between 15.31 and 10.22, Overvalued between 15.31 and 17.86, and Strongly Overvalued above 17.86. The current Forward EV/EBITDA of 9.83 falls within the Undervalued range.

11.38

EV/EBIT

Stanley Black & Decker Inc. (SWK) has a current EV/EBIT of 11.38. The 5-year average EV/EBIT is 16.21. The thresholds are as follows: Strongly Undervalued below 7.11, Undervalued between 7.11 and 11.66, Fairly Valued between 20.76 and 11.66, Overvalued between 20.76 and 25.30, and Strongly Overvalued above 25.30. The current Forward EV/EBIT of 11.38 falls within the Undervalued range.

0.76

Stanley Black & Decker Inc. (SWK) has a current PS of 0.76. The 5-year average PS is 1.05. The thresholds are as follows: Strongly Undervalued below 0.24, Undervalued between 0.24 and 0.65, Fairly Valued between 1.46 and 0.65, Overvalued between 1.46 and 1.87, and Strongly Overvalued above 1.87. The current Forward PS of 0.76 falls within the Historic Trend Line -Fairly Valued range.

9.37

P/OCF

Stanley Black & Decker Inc. (SWK) has a current P/OCF of 9.37. The 5-year average P/OCF is 10.30. The thresholds are as follows: Strongly Undervalued below -4.04, Undervalued between -4.04 and 3.13, Fairly Valued between 17.47 and 3.13, Overvalued between 17.47 and 24.64, and Strongly Overvalued above 24.64. The current Forward P/OCF of 9.37 falls within the Historic Trend Line -Fairly Valued range.

13.82

P/FCF

Stanley Black & Decker Inc. (SWK) has a current P/FCF of 13.82. The 5-year average P/FCF is 17.77. The thresholds are as follows: Strongly Undervalued below -5.21, Undervalued between -5.21 and 6.28, Fairly Valued between 29.26 and 6.28, Overvalued between 29.26 and 40.75, and Strongly Overvalued above 40.75. The current Forward P/FCF of 13.82 falls within the Historic Trend Line -Fairly Valued range.

Stanley Black & Decker Inc (SWK) has a current Price-to-Book (P/B) ratio of 1.32. Compared to its 3-year average P/B ratio of 1.43 , the current P/B ratio is approximately -7.58% higher. Relative to its 5-year average P/B ratio of 1.85, the current P/B ratio is about -28.63% higher. Stanley Black & Decker Inc (SWK) has a Forward Free Cash Flow (FCF) yield of approximately 3.12%. Compared to its 3-year average FCF yield of 2.26%, the current FCF yield is approximately 38.22% lower. Relative to its 5-year average FCF yield of 0.42% , the current FCF yield is about 645.23% lower.

1.32

P/B

Median3y

1.43

Median5y

1.85

3.12

FCF Yield

Median3y

2.26

Median5y

0.42

Competitors Valuation Multiple

The average P/S ratio for SWK's competitors is 1.54, providing a benchmark for relative valuation. Stanley Black & Decker Inc Corp (SWK) exhibits a P/S ratio of 0.76, which is -50.66% above the industry average. Given its robust revenue growth of 0.13%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of SWK decreased by 9.77% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 19.74 to 26.40.

The secondary factor is the Revenue Growth, contributed 0.13%to the performance.

Overall, the performance of SWK in the past 1 year is driven by P/E Change. Which is more unsustainable.

0.13%

3.75B → 3.76B

Revenue Growth

-43.62%

2.43 → 1.37

Margin Expansion

33.72%

19.74 → 26.40

P/E Change

-9.77%

87.21 → 78.69

Mkt Cap Growth

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Frequently Asked Questions

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

What is Stanley Black & Decker Inc (SWK) fair value?

SWK'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. The fair price of Stanley Black & Decker Inc (SWK) is between 59.35 to 163.45 according to relative valuation methord.

How does SWK's valuation metrics compare to the industry average?

What is the current P/B ratio for Stanley Black & Decker Inc (SWK) as of Jan 08 2026?

As of Jan 08 2026, Stanley Black & Decker Inc (SWK) has a P/B ratio of 1.32. This indicates that the market values SWK at 1.32 times its book value.

What is the current FCF Yield for Stanley Black & Decker Inc (SWK) as of Jan 08 2026?

As of Jan 08 2026, Stanley Black & Decker Inc (SWK) has a FCF Yield of 3.12%. This means that for every dollar of Stanley Black & Decker Inc’s market capitalization, the company generates 3.12 cents in free cash flow.

What is the current Forward P/E ratio for Stanley Black & Decker Inc (SWK) as of Jan 08 2026?

As of Jan 08 2026, Stanley Black & Decker Inc (SWK) has a Forward P/E ratio of 15.05. This means the market is willing to pay $15.05 for every dollar of Stanley Black & Decker Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Stanley Black & Decker Inc (SWK) as of Jan 08 2026?

As of Jan 08 2026, Stanley Black & Decker Inc (SWK) has a Forward P/S ratio of 0.76. This means the market is valuing SWK at $0.76 for every dollar of expected revenue over the next 12 months.

SWK Valuation