Fair value · Spirent Communications plc (SPNUF) · updated 2026-09-12 · from annual report FY2024
Spirent Communications trades at $2.68. That price implies a P/E of 134×, 19.2% yearly EPS growth for a decade, 41.3× EV/EBITDA and a 3.4% free-cash-flow yield.
Previous close (2025-07-03)
Are those assumptions reasonable? Use SPNUF’s filed growth history and the AI chat to decide, then set your own inputs below — the range you build is yours.
What the price implies
- P/E
- 134×
- EPS growth
- 19.2%
- EV/EBITDA
- 41.3×
- FCF yield
- 3.4%
price ÷ trailing EPS
per year for 10 years, discounted at 10%
(market cap + net debt) ÷ EBITDA
free cash flow ÷ enterprise value (29.6× EV/FCF)
Prices and market caps: Cboe delayed data, at least 15 minutes delayed. Not real-time. Fundamentals from company filings. This price: Previous close (2025-07-03).
With preset inputs the methods land at $0.62 – $1.25 (presets are filed history and our reference settings, not a recommendation)
How each method got its number
Bear, base and bull are the 25th, 50th and 75th percentile of the methods that produced a usable estimate. Weights say how much a method is trusted for this sector; they do not change the range.
| Method | Estimate | vs price | Weight | Why this method |
|---|---|---|---|---|
P/E vs sector Medium weight Trailing diluted EPS times the sector median P/E. What the stock would be worth if the market priced it like an average peer. | $0.51 | -81% | Medium weight | Trailing diluted EPS times the sector median P/E. What the stock would be worth if the market priced it like an average peer. |
Graham Number Low weight Benjamin Graham’s 1949 rule of thumb: √(22.5 × EPS × book value). It punishes asset-light companies, so it reads low for big tech. | $0.55 | -79% | Low weight | Benjamin Graham’s 1949 rule of thumb: √(22.5 × EPS × book value). It punishes asset-light companies, so it reads low for big tech. |
EV/EBITDA Medium weight Values the whole business at 10× EBITDA and divides by the share count. A mid-cycle industrial multiple; fast growers trade far above it. | $0.81 | -70% | Medium weight | Values the whole business at 10× EBITDA and divides by the share count. A mid-cycle industrial multiple; fast growers trade far above it. |
DCF High weight Projects free cash flow for the coming years and discounts it back to today. The most complete method, and the most sensitive to the growth and discount-rate assumptions. | $0.93 | -65% | High weight | Projects free cash flow for the coming years and discounts it back to today. The most complete method, and the most sensitive to the growth and discount-rate assumptions. |
Earnings Power Value Medium weight Greenwald’s Earnings Power Value: what current earnings are worth if they never grow. Everything above it is what you pay for growth. Using normalized EBIT (3-year average) | $1.35 | -49% | Medium weight | Greenwald’s Earnings Power Value: what current earnings are worth if they never grow. Everything above it is what you pay for growth. |
EV/FCF Medium weight 20× free cash flow per share, i.e. a 5% cash yield. Reads low for companies the market expects to keep growing. Based on latest annual FCF (quarterly TTM unavailable) | $1.88 | -30% | Medium weight | 20× free cash flow per share, i.e. a 5% cash yield. Reads low for companies the market expects to keep growing. |
Growth-trajectory DCF Medium weight A two-stage DCF that grows earnings at the company’s own EPS trend, then fades to the industry’s long-run rate. No trajectory data available | No estimate | Medium weight | A two-stage DCF that grows earnings at the company’s own EPS trend, then fades to the industry’s long-run rate. | |
P/B vs sector Low weight Sector median price-to-book times book value per share. Works for banks and asset-heavy businesses, says little about software. P/B comparable is optional for non-financial companies | No estimate | Low weight | Sector median price-to-book times book value per share. Works for banks and asset-heavy businesses, says little about software. | |
What this means
- A range of $0.62 to $1.25 means the methods disagree by more than 2×. They measure different things — cash the business earns today versus growth the market expects tomorrow — so treat the range as a rough guide, not a target.
- The base case, $0.87, is the median of the 6 methods with data. It assumes Spirent Communications’s current margins, cash generation and share count persist; it does not price in a new product cycle, a recession or a buyback surge.
- The number moves when the filings move. The next 6-K replaces the oldest quarter in the trailing-twelve-month EPS and cash-flow inputs; the last one (Q2 FY2025) was filed 2025-06-30. The price changes every day; the fair value only changes with the filings.
The filing behind these numbers
Spirent Communications plc- Revenue
- $450.6M
- Diluted EPS
- $0.02
- Free cash flow
- $48.1M
- operating cash flow − capital expenditure
- Diluted shares
- 579.6M
- weighted average
annual report FY2024 · fiscal year ended 2024-12-31 · filed 2024-12-31
Trailing-twelve-month EPS also uses the quarterly 6-Ks through Q2 FY2025 (filed 2025-06-30).
Open the annual report list on sec.gov