Using the industry peer median P/E multiple (trailing + forward), Mettler-Toledo International Inc. (MTD) has a fair value of $1,038.67 based on 6 comparable companies in the Medical - Diagnostics & Research industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Mettler-Toledo International Inc.MTD | 26,195 | 30.1x | 27.3x |
| Agilent Technologies, Inc.A | 32,180 | 24.9x | 19.1x |
| IQVIA Holdings Inc.IQV | 28,849 | 21.7x | 13.4x |
| DexCom, Inc.DXCM | 25,958 | 31.8x | 26.7x |
| STERIS plcSTE | 22,031 | 36.2x | 26.1x |
| Quest Diagnostics IncorporatedDGX | 22,003 | 22.6x | 20.2x |
| Waters CorporationWAT | 18,034 | 28.2x | 21.1x |
| Industry Median | 26.5x | 20.6x | |
| (*) Profit after tax | 869 | 958 | |
| Equity Value | 23,060 | 19,755 | |
| (/) Outstanding shares | 21 | 21 | |
| Fair Price | $1119 | $958 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.