Franklin Electric Co., Inc. (FELE) — Fundamental Analysis & Key Financial Ratios

Kaplio overview: Franklin Electric Co., Inc.

Market cap $4B · 52 weeks $90 – $110 (13 % below the high) · P/E 21.4× · 2027 expected P/E 18.1× · Dividend 1.2 % · 11 years rising · Next earnings February 16, 2027 · expected EPS $0.90 · Closing price, Oct 30 · accounts published Oct 28.

• Valuation: P/E 21.4× (fairly priced).
• Business: ROIC 10 % (fair).
• Balance sheet: Net debt/EBITDA 0.5× (solid).
• Earnings: 6 of 8 (uneven).

What would it be worth at its usual multiples?

At the decade median (24.7×) $110 (+15 %); at its sector median (25.8×) $115 (+20 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.

What matters in industrials: 8 of 10 pass

• ROIC 9.6 %, fails.
• Capex / Revenue 2.1 %, fails.
• 5y revenue growth 11.9 %, passes.
• Operating margin 12.8 %, passes, near the threshold.
• FCF conversion 131.6 %, passes.
• Net debt / EBITDA 0.5×, passes.
• Altman Z-Score 6.9, passes.
• Piotroski F-Score 6 de 9, passes.
• P/E vs own 10y history 21.4×, passes.
• Cycle-adjusted EV/EBITDA 13.5×, passes.

Against its peers (reference peers) — Franklin Electric Co., Inc.: P/E 21.4×; EV/EBITDA 13.5×; ROIC 9.6 %; $4.2B. Badger Meter, Inc. (P/E 34.3×; EV/EBITDA 21.4×; ROIC 15.6 %; $4.3B), Mueller Water Products, Inc. (P/E 16.2×; EV/EBITDA 10.2×; ROIC 13.3 %; $3.6B), A. O. Smith Corporation (P/E 17.6×; EV/EBITDA 11.9×; ROIC 18.2 %; $8.6B).

Expensive or cheap against its last ten years?

P/E at each close: today 21.4× · median 24.7× · minimum 19.3× · maximum 43.7× · cheap below 23.6× · expensive above 28.3×. It has been cheaper than today only 7% of the time over its last ten years.

Dividend

solid · Yield 1.2 % ($1.11 per share in 2025) · Years raising it ≥ 11 · 5-year growth +12 % a year · Free cash flow coverage 5.0× · With $1,000 invested today you'd collect $11.60 a year ($0.97 a month).