What is Stryker Corporation (SYK) DCF Fair Value and Intrinsic Value in 2026?

Stryker Corporation (SYK) intrinsic value is calculated using conservative multi-stage Discounted Cash Flow (DCF) models, 5-year free cash flow trajectories, Graham Numbers, and owner earnings multiples. LocalAlpha tracks real-time margin of safety against live market prices.

What is Stryker Corporation's historical Return on Invested Capital (ROIC) and Moat Rating?

Stryker Corporation operates in the Healthcare sector (Medical Devices) with an economic moat rating of WIDE. LocalAlpha tracks 5-year audited quarterly ROIC, operating margin stability, and balance sheet solvency ratios.

What is Stryker Corporation's financial health rating and Piotroski F-Score?

Stryker Corporation's balance sheet quality is evaluated using the 9-point Piotroski F-Score, Altman Z-Score solvency model, debt-to-equity ratio, and quick/current liquidity coverage to guard against financial distress.

How does LocalAlpha monitor Stryker Corporation (SYK) for quarterly SEC filing thesis breaks?

LocalAlpha audits Stryker Corporation's 10-K, 10-Q, and 8-K regulatory filings on SEC EDGAR within 15 minutes of release. If reported metrics breach an investor's custom ROIC floor, operating margin boundary, or qualitative risk criteria, an autonomous breach audit is dispatched immediately.

StocksSYK

SYK

Stryker CorporationHealthcare / Medical DevicesINTACT

Stryker Corporation operates as a medical technology company in the United States and internationally. It operates through two segments, MedSurg and Neurotechnology, and Orthopaedics. The MedSurg and Neurotechnology segment offers surgical equipment, patient and caregiver safety technologies, navigation systems, endoscopic and communications systems, patient handling, emergency medical equipment and intensive care disposable products, clinical communication and artificial intelligence-assisted virtual care platform technology, and minimally invasive products for the treatment of acute ischemic and hemorrhagic stroke and venous thromboembolism; traditional brain and open skull based surgical procedures products; and orthobiologic and biosurgery products, including synthetic bone grafts and vertebral augmentation products. The Orthopaedics segment provides implants for use in total joint replacements, such as hip, knee and shoulder, ankle, and trauma and extremities surgeries; and Mako Shoulder, which expands the smart robotics suite of applications. The company sells its products to doctors, hospitals, and other healthcare facilities through company-owned subsidiaries and branches, as well as third-party dealers and distributors in approximately 61 countries. Stryker Corporation was founded in 1941 and is headquartered in Portage, Michigan.

Share Price

$272.15

52W: $267 - $392.55

DCF Fair Value

$255.06

-6.7% Premium

Thesis Hub

P/E (TTM)

28.2x

ROIC

20.3%

Operating Margin

27%

FCF Yield

3.9%

Debt / Equity

0.64x

Piotroski Score

9/9

Altman Z-Score

3.38

Market Cap

$104.4B

Price vs. Intrinsic Value Corridor

Overvalued vs DCF ($255.06)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)

—()

Period Range

$— - $—

DCF Fair Value

$255.06

MOS Buy Target (-25%)

$191.30

Valuation Overlays: DCF Fair Value ($255.06) 25% MOS Buy Target ($191.30) Revised Graham ($254.50) Graham Number ($116.47)

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price

$272.15

DCF Fair Value

$254.57

-6.9% Premium

Starting Free Cash Flow ($M)$4,108M

$100M$4,108M (Reported)$50,000M

Stage 1 Growth (Years 1-5)13.5%

-5%10% (Target)35%

Stage 2 Growth (Years 6-10)4.5%

0%5%20%

Discount Rate (WACC / Hurdle)9.0%

6%9% (Standard)15% (High Risk)

Terminal Perpetual Growth2.5%

1% (GDP Floor)2.5% (Inflation)4.0%

Net Debt ($M)$11,900M

-$100B CashBalance Sheet+$150B Debt

10-Yr PV of Cash Flows

$45.4B

PV of Terminal Value

$64.2B

Implied Enterprise Value

$109.7B

Implied Equity Value

$97.8B

Year	Yr 1	Yr 2	Yr 3	Yr 4	Yr 5	Yr 6	Yr 7	Yr 8	Yr 9	Yr 10
Projected FCF ($M)	$4,663	$5,292	$6,006	$6,817	$7,738	$8,086	$8,450	$8,830	$9,227	$9,643
Present Value (PV)	$4,278	$4,454	$4,638	$4,830	$5,029	$4,821	$4,622	$4,431	$4,249	$4,073

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number-133.7% Premium

$116.47

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

EPS: $9.64BVPS: $62.54

Revised Graham Formula-6.9% Premium

$254.50

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Growth Rate (g%)

Bond Yield (Y%)

Buffett Owner Earnings3.7% Yield

$10.16 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $3.9BYield: 3.7%

Reverse DCF: Market Growth Expectation

FAIR BARRIER

8.8% CAGR (Next 10 Yrs)

At the current price of $272.15, the market is assuming the business will compound Free Cash Flow at 8.8% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict

ℹ Fair expectations: Requires steady execution.

Autonomous Thesis Underwriting

Surveil SYK with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Stryker Corporation. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 27% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

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Frequently Asked Questions: Stryker Corporation (SYK) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Stryker Corporation.

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Stryker Corporation has an estimated DCF intrinsic fair value of $255.06 per share compared to its current market price of $272.15. This represents an estimated 6.7% premium over fair value. Additionally, its classic Benjamin Graham Number stands at $116.47.