Autodesk’s discounted cash flow model estimates an intrinsic value of about $364 per share, implying the stock is 43.4% undervalued relative to its current price. The company generated approximately $2.7 billion in free cash flow over the latest twelve months, and the two-stage free cash flow to equity framework assumes continued growth. However, Autodesk trades at a price-to-earnings ratio of about 29.7 times, close to the software industry average of roughly 28.8 times and a peer group average of about 28.7 times, while a tailored fair P/E ratio stands at about 30.5 times, suggesting the stock is broadly in line with what its earnings profile would typically justify. The divergence between the DCF-based undervaluation signal and the about-right P/E multiple reflects differing judgments on the durability of Autodesk’s cash generation. Broader valuation checks show a mixed picture, with the stock screening as undervalued in four of six checks.
Autodesk IncDCF model suggests 43% undervaluation, implying stock is cheap relative to intrinsic value.