Snap-on Incorporated (SNA)
Valuation Overview•Is Snap-on Incorporated Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
High-quality fundamentals with a strong composite quality score of 80/100, backed by robust profitability and solvency.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: High-quality compounder, with growth as the only relative weakness.
Wall Street is broadly bullish, projecting solid upside. This is paired with healthy capital returns, driven by a balanced mix of reliable dividends and share buybacks.
SNA demonstrates strong business quality with robust profitability and healthy margins. This is backed by a fortress balance sheet, holding significant net cash ($298M) and minimal debt risk.
The company exhibits steady, low-single-digit revenue growth paired with stable bottom-line earnings. The company maintains healthy operational efficiency with a 24.7% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $1.2B | +0.9% | +2.1% | +7.5% | +4.4% | |
| EBITDA | $335.6M | — | +2.9% | — | — | |
| Net Income | $247.0M | -2.6% | +3.7% | — | +7.8% | |
| EPS (Diluted) | $4.69 | -1.6% | +4.5% | +10.9% | +9.0% | |
| Free Cash Flow | $347.5M | -11.3% | +19.4% | +1.3% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 51.3% | 51.7% | 51.5% | 50.5% |
| Operating Margin | 24.7% | 25.9% | 25.4% | 25.2% |
| Net Margin | 20.0% | 20.0% | 19.3% | 18.2% |
| FCF Margin | 21.0% | 20.8% | 18.8% | 18.2% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $4.75 | $4.69 | -1.3% | ||
| Q1'26 | $4.93 | $4.94 | +0.2% | ||
| Q4'25 | $4.64 | $4.71 | +1.5% | ||
| Q3'25 | $4.63 | $4.72 | +1.9% | ||
| Q2'25 | $4.81 | $4.51 | -6.2% | ||
| Q1'25 | $4.78 | $4.82 | +0.8% | ||
| Q4'24 | $4.59 | $4.70 | +2.4% | ||
| Q3'24 | $4.94 | $5.07 | +2.6% |
Total return is +29.3% (1Y), outperforming the benchmark by +4.3%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +11.7% | +2.4% | — |
| 1Y | +29.3% | +4.3% | +3.1% |
| 3YCAGR | +14.7% | -5.4% | +9.1% |
| 5YCAGR | +14.8% | +1.7% | +17.3% |
| 10YCAGR | +11.1% | -2.6% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Snap-on Incorporated (SNA) valuation, health, and returns.
Snap-on Incorporated is estimated to be fair under our discounted cash flow framework. relative multiples indicate the stock is Cheap versus peers compared to industry peers. trading near fair value (DCF: $363.68)
Snap-on Incorporated has multiple valuation anchors: DCF Intrinsic Value: $363.68 | Peer Relative Fair Value: $504.73 | Wall Street Analyst Target: $415.33 (implying +7.3% upside). A convergence of these signals offers higher conviction.
Snap-on Incorporated displays excellent financial health with a composite quality score of 80/100, supported by a Altman Z-Score of 7.7 (safe zone), Piotroski F-Score of 6/9, Return on Invested Capital (ROIC) of 18.1%.
Snap-on Incorporated pays a 2.3% dividend yield, covered by a 45% payout ratio with 16 years of growth, supplemented by a 1.6% buyback yield.
Snap-on Incorporated's current growth trajectory is Stable. The company achieved +0.9% 1Y revenue growth and -1.6% 1Y EPS growth, compared to its 3Y revenue CAGR of +2.1%.
Wall Street consensus is Buy based on 17 analysts, beating EPS expectations in 83% of recent quarters with a -1-quarter streak. The consensus price target represents a +7.3% change from current levels.
Investment risks for Snap-on Incorporated include: -8.5% 1-year max drawdown. Volatility risk is characterized by a beta of 0.65x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.