Is Worthington Enterprises, Inc. (WOR) overvalued or undervalued?
Updated Nov 10, 2026 · hand-researched model · educational, not advice
At a recent price of $62.67, Worthington Enterprises, Inc. (WOR) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $29.14 and $97.80 per share. They disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.
The valuation discounts Worthington Enterprises, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 10.6%, with a long-run terminal growth rate of 2.5%. About 73% 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.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, WOR's modeled DCF value ranges from about $36.94 to $48.28 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 Worthington Enterprises, Inc. 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 WOR's intrinsic value. Figures update as new filings and prices come in.
The assumptions behind WOR's DCF
| Input | Value | Source |
|---|---|---|
| Base-year revenue | $1,381,300,000 | Worthington Enterprises FY2026 10-K (accession 0001193125-26-325872, filed 2026-07-30), fiscal year ended 2026-05-31, Consolidated Statements of Earnings: Net sales $1,381.3M, +19.7% on FY2025's $1,153.8M. CONTINUING OPERATIONS ONLY: the steel-processing business was spun off as Worthington Steel (NYSE: WS) on 2023-12-01 and is reported as discontinued for all periods, so FY2024 ($1,245.7M), FY2025 and FY2026 are all post-spin figures. Segments: Building Products (renamed Building Performance Solutions on 2026-09-15) $861.5M (+31.7%, of which $121.7M from the Elgen and LSI acquisitions) and Consumer Products (renamed Trade & Specialty Solutions) $519.8M (+4.0%). Organic growth ~9%. Elgen (HVAC components, acquired 2025-06-18, $90.7M) and LSI (metal-roof clips, acquired 2026-01-16, $206.6M) were in the base for only part of the year: the 10-K pro-forma (Note P) puts full-year FY2026 sales at $1,426.3M, i.e. ~$45M of acquisition carry falls into Year 1. NOT IN REVENUE: the WAVE (50%) and ClarkDietrich (25%) joint ventures are unconsolidated - their ~$1.7B of combined sales never reach this line; see market.net_debt for how their value enters. CROSS-CHECK on the latest quarter (Q1 FY2027 release, 8-K Ex-99.1, accession 0001193125-26-397953, 2026-09-22): sales $343.9M, +13.2% (acquisitions +$19.2M, organic +6.9%); trailing twelve months to 2026-08-31 $1,421.5M. |
| Base EBIT margin | 5.5% | Worthington Enterprises FY2026 10-K (accession 0001193125-26-325872) Consolidated Statements of Earnings: GAAP operating income $76.2M / $1,381.3M = 5.52%. This is the WHOLLY-OWNED business only: gross profit $378.3M - SG&A $295.0M - restructuring $7.1M. It deliberately EXCLUDES the $134.6M of equity income from the joint ventures, which Worthington books below operating income (and which is ~64% of FY2026 pretax earnings of $201.3M); that value is added in the bridge instead, so nothing is counted twice. Unallocated corporate cost (~$32M a year) stays inside this margin. Adding back the $7.1M restructuring and $5.2M inventory step-up from the acquisitions gives ~6.4%. History on the same line: FY2024 -5.9% and FY2025 -0.9% (goodwill/intangible impairments of $33.0M and $50.8M, deconsolidation losses, separation costs) - so FY2026 is the first clean post-spin year, not a peak. Intangible amortization ($17.1M, 1.2% of sales) stays inside EBIT. CROSS-CHECK: Q1 FY2027 operating income $13.0M on $343.9M = 3.8% (Q1 FY2026: 3.0%); Q1 is seasonally the weakest quarter and this one included a ~$4.0M net IEEPA tariff refund. TTM to 2026-08-31: $80.0M on $1,421.5M = 5.6%. |
| Forecast revenue growth | 8% → 5% → 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; the program-wide rate shared by every researched model in this run. |
| Beta | 1.19 | Yahoo Finance 5Y-monthly beta via yfinance, read 2026-10-05: Published 5Y-monthly beta 1.186, used AS IS. Caveat: the five-year window straddles the 2023-12-01 steel spin-off, so roughly half the return history is the old Worthington Industries with a steel-processing business (Worthington Steel's own beta is 2.2). That argues the clean post-spin business may be less volatile than 1.19 - but there are not yet five years of post-spin monthly data to prove it, and a consumer/construction-products company with steel inputs is not a utility, so no normalization. It also sets the capitalization rate for the joint-venture stakes (cost of equity 11.17%), so it moves value twice: each 0.1 of beta is ~$2.50-2.85/share in total (~$1.00 operations, the rest JVs): 1.086 gives ~$43.70, 1.286 ~$38.35. |
| Terminal growth | 2.5% | Assumption — house default: House default 2.5% (roughly long-run nominal GDP), kept for comparability; also used to capitalize the JV earnings in the bridge. Neither generous nor stingy: management's long-term organic framework is 3-4%, but that includes pricing in steel-intensive categories. 3.0% adds ~$2.80/share across operations and JVs; 2.0% takes ~$2.50 off. Must remain < WACC of ~10.6%. |
| Diluted shares | 49M | Worthington Enterprises Q1 FY2027 earnings release, 8-K Ex-99.1 (accession 0001193125-26-397953) Consolidated Statements of Earnings: Q1 FY2027 (quarter to 2026-08-31) weighted-average diluted shares 49,165 thousand (basic 48,568K; Q1 FY2026 diluted 50,026K). The Q1 10-Q was not yet filed on 2026-10-06, so the release's statement of earnings is the source. 48,934,416 shares were outstanding at 2026-07-23 (10-K cover), before the Q1 buyback. One class of stock. |
| Market price | $62.67 | Delayed quote · as of 2026-11-10 04:59 UTC |
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Most undervalued stocks (per our valuation) · Undervalued Industrials stocks · All valued stocks · Interactive WOR valuation & downloadable modelTickerWorth is an educational DCF tool, not a licensed investment adviser. Figures are estimates derived from public filings and market data and can be wrong.