Market Pulse50Neutral

Liberty Energy Inc.Opportunity Rank #65(LBRT) Intrinsic Value & DCF Analysis (2026)

Sector: Energy

Current Price

$29.11

Last updated: Mar 24, 2026

Price vs Intrinsic Value

$29.11
Price
$175.72
Intrinsic Value
Undervalued by 504%MOS: $140.58

Fundamental Score

70/100
Bullish

Weighted across 6 signals

Narrative Score

56/100
Improving

No change vs previous

The intrinsic value of Liberty Energy Inc. (LBRT) is estimated at $175.72 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $29.11, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 12.14% long-term growth rate and a 10.00% discount rate (calculated: 7.60%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of Liberty Energy Inc. (LBRT) is estimated at $175.72 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $29.11, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 12.14% long-term growth rate and a 10.00% discount rate (calculated: 7.60%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$175.72
▲ 503.64% upside
20% margin of safety: $140.58
Years: 10Growth Rate: 12.14%
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Capital Efficiency

Average Quarterly ROIC
1.89%
Cost of Capital (estimated)8%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

70/100
BullishWeighted across 6 signals
DCF Discount
503.6% discount to price
100
FCF Yield
25.5% trailing FCF yield
100
ROIC vs WACC
ROIC 1.9% vs WACC 8.0% (0.2x)
12
Net Debt / FCF
0.5x net debt to FCF
90
Buybacks
Share count growing
30
FCF CAGR (5Y)
44.8% 5Y FCF CAGR
100
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC, Buybacks.

Narrative Details

56/100
Improving
Vs 6-Month Baseline:Above Avg (64th pct)Weighted across 4 recent drivers
Trend: StableConfidence: 58%Updated: 3h ago
Sources: 21 (21 News)
Drivers(last 30 days)
12 news sentiment+0.3
6 regulatory scrutiny+0.2
Upgrade headlines+0.0
2 earnings beat+0.0

Investment Coach

Updated 18h ago
BUYConfidence: 62%
Thesis
Liberty Energy Inc. is significantly undervalued with an estimated fair value over 600% above its current price, supported by a strong fundamental score and a healthy free cash flow yield of 25.5%. Despite trailing returns relative to its cost of capital, the company's improving narrative and robust free cash flow growth present a compelling buy opportunity.
Key Risk
The key risk is the negative spread between ROIC and WACC, indicating returns are currently below the cost of capital, which may pressure valuation and performance.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 12.14%5 Year CAGR: 29.24%

Free Cash Flow (in millions)

TTM20252024202320222021202020192018201720162015
$1,205$1,205$1,480$1,618$990$334$189$456$610$507$62$45

How Intrinziq Estimates Fair Value

Intrinziq estimates Liberty Energy Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

Liberty Energy Inc.Energy

Liberty Energy Inc. provides hydraulic fracturing and wireline services, and related goods to onshore oil and natural gas exploration and production companies in North America. It also offers hydraulic fracturing pressure pumping services, including pressure pumping and pumpdown perforating services, as well wireline services, proppant delivery solutions, data analytics, related goods and technologies. In addition, the company owns operates two sand mines in the Permian Basin. As of December 31, 2021, it had a total of approximately 30 active frac fleets. The company offers its services primarily in the Permian Basin, the Eagle Ford Shale, the Denver-Julesburg Basin, the Williston Basin, and the Powder River Basin. The company was formerly known as Liberty Oilfield Services Inc. and changed its name to Liberty Energy Inc. in April 2022. Liberty Energy Inc. was founded in 2011 and is headquartered in Denver, Colorado.