Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Mesa Laboratories, Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 4.0% to 15.8% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 69, DPO 30, DIO 120). At a 8.1% WACC with mid-year discounting, the terminal value (96% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 26.9x to Year 6 EBITDA. After subtracting net debt, the equity value implies a fair price of $39.53 per share, suggesting MLAB is overvalued by 62.2% at the current price of $104.65.
Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.
| 2026 | 2027 | 2028 | 2029 | 2030 | Terminal | |
|---|---|---|---|---|---|---|
| Profit Before Tax | 2 | 2 | 2 | 2 | 2 | 2 |
| (−) Net Interest | 9 | 9 | 10 | 10 | 12 | 12 |
| (+) D&A | 4 | 4 | 4 | 4 | 5 | 5 |
| EBITDA | 14 | 15 | 16 | 16 | 19 | 19 |
| (−) Tax | 1 | 1 | 1 | 1 | 1 | — |
| (−) CapEx | 5 | 5 | 5 | 5 | 6 | — |
| (−) ΔWC | 9 | 4 | 3 | 4 | 13 | — |
| Free Cash Flow (FCF) | -0 | 6 | 7 | 7 | -1 | — |
| Peers' EBITDA Multiple | 26.9x | |||||
| Terminal Value | 521 | |||||
| WACC / Discount Rate | 8.05% | |||||
| Timing of FCF (mid year) | 0.5 | 1.5 | 2.5 | 3.5 | 4.5 | 5 |
| Present Value of FCF | -0 | 6 | 6 | 5 | -1 | 354 |
| Enterprise Value | 369 | |||||
| Projection Period | 15 | 4.1% | ||||
| Terminal Value | 354 | 95.9% | ||||
| (−) Current Net Debt | 154 | |||||
| Equity Value | 215 | |||||
| (÷) Outstanding Shares | 5M | |||||
| Fair Price | $40 | -62.2% | ||||
| WACC \ EV/EBITDA Exit Multiple | 22.9x | 24.9x | 26.9x | 28.9x | 30.9x |
|---|---|---|---|---|---|
| 6.0% | $35 | $41 | $46 | $51 | $57 |
| 7.0% | $33 | $38 | $43 | $48 | $53 |
| 8.0% | $30 | $35 | $40 | $44 | $49 |
| 9.0% | $27 | $32 | $37 | $41 | $46 |
| 10.0% | $25 | $29 | $34 | $38 | $43 |
Current price: $104.65. Green = undervalued, Red = overvalued.
Based on default parameters
Using an unlevered Free Cash Flow to Firm (FCFF) model, we project Mesa Laboratories, Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 4.0% to 5.1% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 69, DPO 30, DIO 120). At a 8.1% WACC with mid-year discounting, the terminal value (93% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 26.9x to Year 11 EBITDA. After subtracting net debt, the equity value implies a fair price of $46.24 per share, suggesting MLAB is overvalued by 55.8% at the current price of $104.65.
Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.
| 2026 | 2027 | 2028 | 2029 | 2030 | 2031 | 2032 | 2033 | 2034 | 2035 | Terminal | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Profit Before Tax | 2 | 2 | 2 | 2 | 2 | 3 | 3 | 3 | 3 | 4 | 4 |
| (−) Net Interest | 9 | 9 | 10 | 10 | 12 | 13 | 15 | 16 | 18 | 19 | 19 |
| (+) D&A | 4 | 4 | 4 | 4 | 5 | 5 | 6 | 6 | 7 | 8 | 8 |
| EBITDA | 14 | 15 | 16 | 16 | 19 | 21 | 23 | 26 | 28 | 30 | 30 |
| (−) Tax | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 2 | 2 | — |
| (−) CapEx | 5 | 5 | 5 | 5 | 6 | 7 | 8 | 8 | 9 | 9 | — |
| (−) ΔWC | 9 | 4 | 3 | 4 | 13 | 13 | 12 | 11 | 9 | 7 | — |
| Free Cash Flow (FCF) | -0 | 6 | 7 | 7 | -1 | 0 | 2 | 5 | 8 | 11 | — |
| Peers' EBITDA Multiple | 26.9x | ||||||||||
| Terminal Value | 816 | ||||||||||
| WACC / Discount Rate | 8.05% | ||||||||||
| Timing of FCF (mid year) | 0.5 | 1.5 | 2.5 | 3.5 | 4.5 | 5.5 | 6.5 | 7.5 | 8.5 | 9.5 | 5 |
| Present Value of FCF | -0 | 6 | 6 | 5 | -1 | 0 | 1 | 3 | 4 | 5 | 376 |
| Enterprise Value | 405 | ||||||||||
| Projection Period | 29 | 7.1% | |||||||||
| Terminal Value | 376 | 92.9% | |||||||||
| (−) Current Net Debt | 154 | ||||||||||
| Equity Value | 251 | ||||||||||
| (÷) Outstanding Shares | 5M | ||||||||||
| Fair Price | $46 | -55.8% | |||||||||
| WACC \ EV/EBITDA Exit Multiple | 22.9x | 24.9x | 26.9x | 28.9x | 30.9x |
|---|---|---|---|---|---|
| 6.0% | $49 | $55 | $61 | $67 | $73 |
| 7.0% | $42 | $48 | $53 | $59 | $65 |
| 8.0% | $36 | $41 | $46 | $51 | $57 |
| 9.0% | $30 | $35 | $40 | $45 | $49 |
| 10.0% | $26 | $30 | $34 | $38 | $43 |
Current price: $104.65. Green = undervalued, Red = overvalued.
Based on default parameters
Using the industry peer median EV/EBITDA multiple (trailing + forward), Mesa Laboratories, Inc. (MLAB) has a fair value of $171.68 based on 6 comparable companies in the Hardware, Equipment & Parts industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing EV/EBITDA | Forward EV/EBITDA | |
|---|---|---|---|
| Mesa Laboratories, Inc.MLAB | 568 | 17.1x | 17.1x |
| Vishay Precision Group, Inc. | 830 | 30.3x | 26.8x |
| PubMatic, Inc. | 485 | 13.8x | 13.3x |
| Gorilla Technology Group Inc. | 374 | 29.5x | 37.9x |
| GDEV Inc. | 326 | 4.4x | 3.9x |
| Xerox Holdings Corporation | 310 | 44.4x | 50.5x |
| eGain Corporation | 204 | 24.3x | 22.1x |
| Industry Median | 26.9x | 24.5x | |
| (*) EBITDA | 42 | 42 | |
| = Enterprise Value | 1,139 | 1,034 | |
| (-) Net Debt | 154 | 154 | |
| Equity Value | 985 | 879 | |
| (/) Outstanding shares | 5 | 5 | |
| Fair Price | $181 | $162 | |
Using the industry peer median EV/Revenue multiple (trailing + forward), Mesa Laboratories, Inc. (MLAB) has a fair value of $81.40 based on 9 comparable companies in the Hardware, Equipment & Parts industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing EV/Revenue | Forward EV/Revenue | |
|---|---|---|---|
| Mesa Laboratories, Inc.MLAB | 568 | 3.0x | 3.0x |
| Vishay Precision Group, Inc. | 830 | 2.6x | 2.3x |
| LightPath Technologies, Inc. | 502 | 13.8x | 15.8x |
| PubMatic, Inc. | 485 | 1.4x | 1.3x |
| Gorilla Technology Group Inc. | 374 | 2.9x | 3.7x |
| GDEV Inc. | 326 | 0.8x | 0.7x |
| Xerox Holdings Corporation | 310 | 0.6x | 0.7x |
| Blaize Holdings, Inc. | 230 | 4.8x | 77.5x |
| MicroVision, Inc. | 219 | 184.6x | 21.9x |
| eGain Corporation | 204 | 1.6x | 1.5x |
| Industry Median | 2.6x | 2.3x | |
| (*) Revenue | 241 | 241 | |
| = Enterprise Value | 633 | 559 | |
| (-) Net Debt | 154 | 154 | |
| Equity Value | 479 | 405 | |
| (/) Outstanding shares | 5 | 5 | |
| Fair Price | $88 | $75 | |
Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.