MLKN
MillerKnoll, Inc.
$15.45
Platform & Compounding FCF
50%
Two-stage FCF DCF
Strong
·
Conviction
Overvalued
Trading 1927.8% above fair value
You pay
$15.45
Bear
$0.00
Fair
$0.76
Bull
$5.45
Bear
$0.00
-100.0%
5% stage 1 growth, 12% discount
Fair
$0.76
-95.1%
8% stage 1 growth, 12% discount
Bull
$5.45
-64.7%
11% stage 1 growth, 12% discount
Key Value Driver
FCF growth rate (8% base case)
Terminal Value % of EV
33%
Implied Market Multiple
26.3x
Summary
Using a two-stage FCF DCF with 8% growth decelerating over 15 years, discounted at 12%, the base-case intrinsic value is $0.76 per share.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions