QualityDipStocks / Industrials · Industrial machinery
Roper Technologies ROP
Not in a dip: trading near its 52-week high.
A quality company trading well below our fair value estimate, 5% over its Market Value.
- Fair value est.
- $750.55+61%
- Market Value
- $445.01price +5%
- Off 52-wk high
- at the high
- Risk vs market
- Lowbeta −0.07
5 bullish · 4 bearish See why
Key levels
Every level vs today’s $466.60
- 52-wk lowlowest close, 1 year$315.53−32.4%
- Market Valueavg paid since Oct 22$445.01−4.6%
- PriceFri Oct 30 close$466.60you are here
- 52-wk highhighest close, 1 year$466.60at the price
- Fair value est.base case$750.55+60.9%
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 13.7% ±2 points. Bear = 10.5% and 11.7%; bull = 8.5% and 15.7% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price is below even the bear case.
What the price implies To be worth today’s price, ROP’s free cash flow would need to grow about 5% a year for five years; our estimate uses 14%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 30 to Oct 30, 252 sessions). Beta = how much ROP moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Has moved mostly independently of the market, but its own price swings are 2.4× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- -0.07
- Volatility
- 31% vs 13% SPY
- Correlation SPY
- −0.03
- Correlation QQQ
- −0.19
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
ValuationOur DCF fair value estimate is $750.55, 61% above the price.
ValuationP/E of 18.7× is 49% below its own average of 36.6× at the last 3 fiscal year-ends.
Cash returnsShare count down 7.2% in a year: $3.2B of buybacks over 12 months.
ValuationP/E of 18.7× vs a 27.5× median for the 130 Industrials companies we cover.
QualityPasses all four of our quality checks: cash generation, returns on capital, growth and balance sheet.
Top bearish points 4 of 5
Balance sheetDebt rose 47% to $9.3B from FY2023 to FY2025.
ProfitabilityReturn on invested capital of 6.6%, below the 13% median for the 102 Industrials companies we cover.
Cash returnsDividend yield of 0.8%, below the 1.1% median for the 116 Industrials companies we cover.
ValuationEV/EBITDA of 17.9×, above the 16.6× median for the 96 Industrials companies we cover.
Who’s talking about it
Notable investors, executives, analysts and public figures on Roper Technologies in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 1, 9:09 PM ET.
Compare with peers
Closest in size in Industrial machinery
All fundamentals
P/E 18.7 · FCF yield 5.6% · ROE 13%
Valuation
- P/E
- 18.7×3-yr-end avg 36.6× · Industrials median 27.5×
- Price / FCF
- 17.9×
- FCF yield
- 5.6%
- EV / EBITDA
- 17.9×
- Price / sales
- 5.67×
- Price / book
- 2.51×
- Market cap
- $46.9Bprice × diluted shares
- Enterprise value
- $57.9B
Growth
- Revenue, 12 months
- $8.3B
- Sales growth, 12 months
- +10.9%vs the 12 months before
- Sales growth, 3 yrs
- +13.7%/yrfrom FY2022
- Diluted EPS, 12 months
- $24.00
- EPS growth, last FY
- −1.0%
- Net income, 12 months
- $2.5B
- Net income growth
- +63%12 months vs before
Profitability
- Gross margin
- 69.5%
- Operating margin
- 28.0%
- Net margin
- 30.2%
- FCF margin
- 31.7%
- Return on equity
- 13%
- Return on invested capital
- 7%
Balance sheet
- Cash & short-term inv.
- $365M
- Total debt
- $11.3B
- Net cash
- −$11.0B
- Debt / equity
- 0.61×
- Interest coverage
- 5.9×operating income / interest
Cash flow & returns
- Free cash flow, 12 months
- $2.6B
- FCF growth, 12 months
- +12%
- Dividend yield
- 0.79%$369M paid
- Payout ratio
- 15%
- Buybacks, 12 months
- $3.2B6.9% of market cap
- Share count, 1 year
- −7.2%diluted shares vs a year ago
- Stock-based comp
- $192M
Trailing 12 months to Jun 30, 2026; balance sheet at Jun 30, 2026. From Roper Technologies’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
Valuation details
DCF $750.55 · MV $445.01 · FCF value $657.96
Assumes 13.7% growth for 5 years (revenue grew 13.7% a year FY22–FY25), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $26.07 a share (trailing 12 months to Jun 30, 2026), from the 10-Q filed Jul 31, 2026. Net debt $11.0B, not deducted.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only arm once a company is in a dip.
Momentum & 52-week range
RSI 82 · 5 days +6.5%
The business
FCF $2.5B · Sales +8%
- Free cash flow, 12 months$2.5B
- Free-cash-flow yield5.6%
- Free-cash-flow margin30%
- Gross margin70%
- Operating margin28%
- Return on invested capital6%
- Return on equity13%
- Sales growth (latest quarter vs year-ago quarter)+8%
- Net debt / EBITDA2.5×
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.
Get a text when ROP fires a reversal signal
One text when a published rule fires on ROP or any of the 333 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.