Is Carlisle Companies Incorporated (CSL) overvalued or undervalued?
Updated Nov 10, 2026 · hand-researched model · educational, not advice
At a recent price of $396.61, Carlisle Companies Incorporated (CSL) trades 4% above TickerWorth's blended fair value of $381.25 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices CSL overvalued vs our estimate of what the business is intrinsically worth. Our fair value sits below the market, an implied -3.9% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.
One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values CSL at about $274.57 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.
The valuation discounts Carlisle Companies Incorporated's projected free cash flows at a weighted-average cost of capital (WACC) of 8.6%, with a long-run terminal growth rate of 2.5%. About 76% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 8.6% annual revenue growth for CSL. Our base case instead compounds to about 4.2% a year over the same forecast, so the market is pricing in materially faster growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, CSL's modeled DCF value ranges from about $185.19 to $487.46 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Carlisle Companies Incorporated would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of CSL's intrinsic value. Figures update as new filings and prices come in.
The assumptions behind CSL's DCF
| Input | Value | Source |
|---|---|---|
| Base-year revenue | $5,019,900,000 | Carlisle Q4/FY2025 earnings release, 8-K Ex-99.1 (accession 0000790051-26-000009, filed 2026-02-03): Revenues $5,019.9M for calendar 2025, +0.3% on FY2024's $5,003.6M (organic roughly flat; small acquisition contribution at CWT). Continuing operations only - Carlisle Interconnect Technologies (CIT) was sold in 2024 and sits in discontinued operations, so the FY2024 comparative is already on the pure building-envelope basis. Ties to us-gaap:Revenues in the 10-K. History on the same basis: FY2023 $4,586.9M, FY2024 $5,003.6M (+9.1%, helped by the MTL (May 2024) and PFB (December 2024) acquisitions), FY2025 $5,019.9M. UNCHANGED as the base; the 2026 quarters belong in the forecast. CROSS-CHECK: H1 2026 revenue $2,622.4M, +3.0% on H1 2025 ($2,545.3M), with Q2 a record $1,570.3M (+8%, organic +7.9%). |
| Base EBIT margin | 20.0% | Carlisle Q4/FY2025 earnings release, 8-K Ex-99.1 (accession 0000790051-26-000009, filed 2026-02-03): GAAP operating income $1,002.5M / revenue $5,019.9M = 19.97% (Carlisle prints 20.0%). This is AFTER $121.9M of acquired-intangible amortization, $47.1M of R&D and ~$27.5M of 'non-comparable' items (acquisition, restructuring, legal) that management adds back to reach its 24.4% adjusted EBITDA margin - none of them are added back here. Down from 22.8% in FY2024 and 21.4% in FY2023 ($982.8M / $4,586.9M, 10-K): new-construction volume fell, CWT volume fell and Carlisle spent ahead on innovation and the Carlisle Operating System. CROSS-CHECK, H1 2026: $532.8M / $2,622.4M = 20.3% vs 20.4% in H1 2025 - flat, as raw-material and freight inflation from the Middle East conflict outran price in Q2 (Q2 margin 22.4% vs 23.1%). |
| Forecast revenue growth | 5% → 4% → 4% → 4% → 4% | Assumption — TickerWorth's 5-year explicit forecast |
| Risk-free rate | 5.2% | US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. Shared by every model in this tracker. For Carlisle the same rate also shapes the outlook: high long rates are what keep commercial new construction near the bottom of its cycle, which is why no new-construction recovery is assumed in 2027. |
| Beta | 0.83 | Yahoo Finance 5Y-monthly beta via yfinance, read 2026-10-06: Published 5Y-monthly beta 0.833, used AS IS - the house policy (Masco 1.294 and Home Depot 0.955 in this tracker are also used as published). It is LOW for a building-products maker and well below Masco's: re-roofing (~70% of CCM's commercial roofing) is a replacement need that does not wait for the economy, and the window spans Carlisle's transformation into a pure building-envelope company. A reader who thinks 0.83 understates a construction supplier's risk should note which way it cuts: a beta of 1.0 would take ~$34/share off, Masco's 1.294 ~$79. Each 0.1 of beta is worth roughly $21-24/share, and a beta of ~0.62 (WACC ~7.7%) is what today's price needs. |
| Terminal growth | 2.5% | Assumption — house default: House default 2.5% (roughly long-run nominal GDP), kept for comparability. Reasonable for Carlisle: re-roofing is a replacement cycle on a large, ageing stock (over 70% of US non-residential buildings are more than 25 years old, per the FY2025 release), but in perpetuity a roofing supplier grows with the building stock and prices. 3.0% adds ~$24/share; 2.0% takes ~$20 off. Must remain well below the 8.59% WACC. |
| Diluted shares | 40M | Carlisle Q2 2026 earnings release, 8-K Ex-99.1 (accession 0000790051-26-000033, filed 2026-07-29); Carlisle Q2 2026 10-Q (accession 0000790051-26-000037, filed 2026-07-30): Q2 2026 weighted-average diluted shares 40.5M (basic 40.2M); H1 40.8M; FY2025 43.2M; FY2024 47.1M. Reported to one decimal. THE COUNT IS FALLING FAST: Carlisle bought back $1.3B of stock in 2025 and $500M in H1 2026, and raised its 2026 repurchase target to $1.2B, so ~$700M more is planned for H2. 39.71M shares were outstanding on 2026-07-23. Using the weighted count is the house rule and is mildly conservative: the 39.71M outstanding count would add ~$5.50/share. Future buybacks are NOT credited - at a price above this model's value, buying back stock does not create value on these assumptions. |
| Market price | $396.61 | Delayed quote · as of 2026-11-10 04:57 UTC |
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