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DCF valuation

What is Power Solutions International, Inc. worth?

With the base-case assumptions below, a discounted cash flow model on Power Solutions International, Inc.'s reported free cash flow gives $19.19 per share. The share price was $46.65 on September 25, 2026, 143% above that value.

Inputs from the filings

Free cash flow, fiscal 2025
$14.1M
Average free cash flow, last 5 years
$12.8M
Cash
$70.1M
balance sheet of June 30, 2026
Debt
$5.8M
balance sheet of June 30, 2026
Diluted shares, fiscal 2025
23,066,000
Revenue growth per year, last 5 years
11.6%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear6.5%4.5%2.0%10.0%$12.96-72%
Base11.5%7.0%2.5%9.0%$19.19-59%
Bull16.5%10.0%3.0%8.0%$31.60-32%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$23.93$25.39$27.18$29.42$32.30
8.0%$20.38$21.33$22.45$23.80$25.45
9.0%$17.79$18.44$19.19$20.06$21.10
10.0%$15.82$16.28$16.81$17.41$18.10
11.0%$14.28$14.62$15.00$15.42$15.91

Where the presets come from

Base: years 1 to 5 grow at Power Solutions International, Inc.'s revenue growth rate over the last 5 fiscal years (11.6% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Power Solutions International, Inc. company page