S&P Global Inc. (SPGI) Intrinsic Value & DCF Valuation
Financial - Data & Stock Exchanges · NYSE
Current Price
$410.71
Intrinsic Value
$491.84
+16.5% margin of safety
What Is S&P Global Inc.'s Intrinsic Value?
As of 2026-09-11, the base-case DCF model estimates the intrinsic value of S&P Global Inc. (SPGI) at $491.84 per share, compared with a market price of $410.71, a margin of safety of +16.5%. The base case assumes 9.4% annual free cash flow growth and a 10.0% discount rate.
Across the sensitivity grid the estimate spans $401.49 to $595.18. Intrinsic value is an estimate built on assumptions, not a fact. A higher discount rate or slower growth pushes the estimate down, while stronger cash flow growth lifts it.
How the DCF works · Recalculate with your own assumptions · What is intrinsic value?
Is S&P Global Inc. (SPGI) Undervalued?
At $410.71, SPGI trades about 16.5% below the base-case intrinsic value estimate. That is a real discount, but it stays short of the 30% margin of safety required before calling a stock undervalued.
COMPETITIVE MOAT
↑Dominant Data & Analytics Platform
S&P Global's extensive financial data and analytics are deeply embedded in market infrastructure. This creates high switching costs for users reliant on its benchmarks and ratings.
↑Brand and Reputation in Ratings
The S&P brand is synonymous with credit ratings, a critical trust signal for investors and issuers. This established reputation is difficult for competitors to replicate.
↑Network Effects in Indices
The S&P 500 and other indices benefit from strong network effects. More assets tracking an index increase its liquidity and attractiveness, reinforcing its dominance.
INVESTMENT RISKS
↓Competition in Data & Analytics
While dominant, S&P Global faces ongoing competition from other data providers and emerging platforms seeking to offer similar or superior insights.
↓Economic Downturn Impact
A significant economic recession could reduce transaction volumes and demand for financial data and ratings, impacting revenue streams.
↓Integration of Acquisitions
Successfully integrating large acquisitions, like the pending one, presents operational and cultural challenges that could hinder synergy realization.
Base case
SPGI base case valuation
Intrinsic Value
$491.84
Margin of safety
+16.5%
Expected annual return
+3.7%
Base case assumptions: 9.4% annual growth, 10.0% discount rate, 21.73x exit multiple, 5 year projection. Data as of 2026-09-11.
This base case uses default assumptions and is not financial advice. The intrinsic value changes significantly when the growth rate or discount rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the SPGI valuation
Adjust the growth rate, discount rate, and exit multiple to see how the intrinsic value and margin of safety for S&P Global Inc. respond.
Open DCF Calculator for SPGICompany Overview
S&P Global Inc., together with its subsidiaries, provides benchmarks, data, analytics, and workflow solutions in the global capital, energy and commodity, and automotive markets. It operates through five segments: S&P Global Market Intelligence, S&P Global Ratings, S&P Global Energy, S&P Global Mobility, and S&P Dow Jones Indices. The S&P Global Market Intelligence segment provides multi-asset-class data and analytics integrated with purpose-built workflow solutions. This segment offers Data, Analytics & Insights, a desktop product suite that provides data, analytics, and third-party research for global finance and corporate professionals; research, reference data, market data, derived analytics, and valuation services; enterprise solutions, such as software and workflow solutions; and credit and risk solutions for selling Ratings' credit ratings and related data and research, analytics, and financial risk solutions. The S&P Global Ratings segment operates as an independent provider of credit ratings, research, and analytics offering investors information and independent benchmarks for their investment and financial decisions as well as access to the capital markets. The S&P Global Energy segment provides information and benchmark prices for the energy and commodity markets. The S&P Global Mobility segment offers solutions for the full automotive value chain, including vehicle manufacturers, automotive suppliers, mobility service providers, retailers, consumers, and finance and insurance companies. The S&P Dow Jones Indices segment operates as an index provider that maintains various valuation and index benchmarks for investment advisors, wealth managers, and institutional investors. It has operations in the United States, European region, Asia, and internationally. S&P Global Inc. was founded in 1860 and is headquartered in New York, New York.
Financial Metrics — SPGI Stock Valuation Data
Revenue/Share (TTM)
$54.57
FCF/Share (TTM)
$18.87
ROIC (TTM)
10.2%
ROE (TTM)
15.5%
P/FCF
21.7x
EV/EBITDA
16.1x
FCF Yield
4.60%
Debt/Equity
0.50x
On a trailing twelve-month basis, SPGI generates free cash flow per share of $18.87 alongside a ROIC of 10.2%, both central inputs for a DCF valuation. Its P/FCF ratio of 21.7x and FCF yield of 4.60% then frame how SPGI is priced against peers on a cash flow basis.
Frequently Asked Questions
What is the intrinsic value of SPGI?
S&P Global Inc. currently generates $18.87 in free cash flow per share. At the current price of $410.71, a DCF model would discount these cash flows at an appropriate WACC and apply a terminal growth rate to arrive at an intrinsic value. The result depends heavily on your growth and discount rate assumptions — a 1% change in WACC typically shifts the fair value estimate by 10-15%. In MiniValuator the model uses a single discount rate that you can edit directly, 10% by default, rather than a computed WACC.
Is SPGI undervalued?
SPGI trades at a P/FCF ratio of 21.7x with a free cash flow yield of 4.60%. This P/FCF is in a moderate range. However, whether SPGI is truly undervalued requires comparing the DCF intrinsic value to the current market price and evaluating whether the margin of safety is sufficient for your risk tolerance.
How do I value SPGI stock using DCF?
To perform a DCF valuation on S&P Global Inc.: (1) Start with the trailing free cash flow per share ($18.87) as the base, (2) project future FCF growth over 5-10 years based on Financial - Data & Stock Exchanges industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting SPGI's risk profile — with a debt-to-equity of 0.50x, capital structure is an important factor, and (4) add a terminal value for cash flows beyond the projection period.
What is DCF valuation and how does it apply to SPGI?
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For S&P Global Inc., this means projecting how much free cash flow the company will produce over the next 5-10 years, shaped by Financial - Data & Stock Exchanges trends, then discounting those amounts to today's dollars. SPGI's ROIC of 10.2% shows moderate capital returns.
How does WACC affect SPGI stock valuation?
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For SPGI, with a debt-to-equity ratio of 0.50x, the capital structure directly influences WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%. At an EV/EBITDA of 16.1x, the market's implied discount rate can be reverse-engineered for comparison. In MiniValuator you set this discount rate yourself as a single editable number, 10% by default, instead of computing a formal WACC.
Learn More
- See SPGI PE Valuation → — Earnings-based stock valuation using PE ratio analysis
- DCF Methodology — Step-by-step guide to discounted cash flow analysis
- PE Methodology — Guide to PE ratio stock valuation
- WACC — Understanding the discount rate used in DCF
- Margin of Safety — How to evaluate downside protection
- Intrinsic Value — How to evaluate stock fair value
- How to Calculate Intrinsic Value — Complete guide for investors
Related Valuations
All Financial Services valuationsDCF and P/E value SPGI with different methods and assumptions, so the two conclusions can differ. Compare the P/E fair value.
Price as of 2026-09-11. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.