Legacy Housing stock: fair value
LEGHThe fair value of Legacy Housing under our model is $28.53, the price is 1% below.
The fair value is an estimate from our model, not a price target.
Daily figure as of 13 Nov 2026
Valuation signal
Fairly valuedIn our model the price counts as cheap below $21.95 and expensive above $40.76 (uncertainty medium, based on the price swings of the past year).
The two parts of the fair value come to $19.90 (cash-flow model) and $37.16 (industry comparison), and the gap between them shows how uncertain the estimate is.
Calculated with a cost of equity of 8.8%. At 9.8% the fair value would be $26.90, at 7.8% it would be $30.97.
Where the number comes from
Half from the cash-flow model, half from earnings times the industry P/E (14.1).
Ten-year cash-flow model from smoothed free cash flow and its past growth until it reaches 3.8%. Discounted at 8.8% (floor: government bond yield 3.8% plus 5 percentage points, since beta 0.89 times the risk premium would give less); no analyst estimates were available.
Calculate with your own assumptionsThe calculation step by step
With these figures the cash flow model arrives at $19.90 per share: free cash flow for the next ten years, each year discounted to today at 8.8%, plus the terminal value for the years after. The table explains the calculation; it is not a recommendation.
Calculation as a table
| Year | Free cash flow | Source | Discount factor | Present value (discounted at 8.8%) |
|---|---|---|---|---|
| 2026 | $27.4M | extrapolated at −3.9% | 0.9189 | $25.18M |
| 2027 | $26.98M | extrapolated at −1.6% | 0.8443 | $22.78M |
| 2028 | $26.99M | extrapolated at 0.1% | 0.7758 | $20.94M |
| 2029 | $27.31M | extrapolated at 1.2% | 0.7129 | $19.47M |
| 2030 | $27.85M | extrapolated at 2.0% | 0.6550 | $18.24M |
| 2031 | $28.56M | extrapolated at 2.5% | 0.6019 | $17.19M |
| 2032 | $29.39M | extrapolated at 2.9% | 0.5530 | $16.26M |
| 2033 | $30.33M | extrapolated at 3.2% | 0.5082 | $15.41M |
| 2034 | $31.36M | extrapolated at 3.4% | 0.4669 | $14.64M |
| 2035 | $32.46M | extrapolated at 3.5% | 0.4291 | $13.93M |
| Step | Value |
|---|---|
| Sum of present values (ten years) | $184.04M |
| Terminal value: cash flow 2035 × (1 + 3.8%) / (8.8% − 3.8%) | $674.11M |
| Present value of terminal value (× 0.4291) | $289.23M |
| Equity value (sum plus present value of terminal value) | $473.27M |
| Shares (diluted) | 23.78M |
| Value per share (equity value divided by shares) | $19.90 |
| Earnings per share, last twelve months | $2.64 |
| × 14.1 (industry P/E) | $37.16 |
| Fair value (average of both parts) | $28.53 |
The model uses free cash flow after interest, which belongs to shareholders, discounted at the cost of equity. Net debt is therefore not deducted again.
Data status and sources
- Score
- Daily value of 13 Nov 2026, recalculated nightly
- Price
- Closing price of 12 Nov 2026
- Latest annual report
- Fiscal year 2025, period end 31 Dec 2025
- Source
- Financial statements, ratios and prices from Financial Modeling Prep (FMP), based on the company's reports. MEQIRI calculates the score and fair value from them.
Mandatory disclosures for this rating
- ; time horizon around 12 months
- Rated Neutral since 13 Nov 2026, previously Strong
- Valuation signal Fairly valued since 7 Nov 2026
- End-of-day prices, metrics cached for up to 24 hours
- Score and fair value are estimates from a disclosed model. They are not facts and not a price target.
- Produced by SSM Ventures UG (haftungsbeschränkt), responsible person Sven Brostmeyer, Managing Director, automatically according to the disclosed model.
- Not investment advice. Losses up to and including a total loss are possible. Personal circumstances are not considered.