Westport Fuel Systems Inc.

WPRT

Consumer CyclicalAuto - PartsNASDAQ

$1.97

Market Cap: $34.20M

Westport Fuel Systems Inc. (WPRT) Valuation Summary

Updated Apr 20, 2026 22:16

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$1.94 – $3.01	$2.14	-0.8%
Revenue DCF 10Y	$1.93 – $7.21	$3.15	+45.6%
▸ Trading Multiples
EV/Revenue	$9.71 – $389.89	$7.60	+252.0%

Valuation History

DCF Analysis

Westport Fuel Systems Inc. (WPRT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$3.15

Market Price

$1.97

Upside / Downside

+59.9%

Verdict

Undervalued

Using a Revenue DCF model with operating margin convergence from -8.2% to a target of 7.7% over 5 years, discounted at a WACC of 7.0%, Westport Fuel Systems Inc. (WPRT) has an intrinsic value of $3.15 per share (range: $1.93 – $7.21).

Key Assumptions

Current Operating Margin

-8.2%

Target Operating Margin

7.7%

WACC

7.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

4.5%

Target CapEx/Rev

6.2%

D&A/Revenue

4.1%

Tax Rate

0.0%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2025	86	-71.5%	-5.0%	-4	-4	4	(4)	-39	34	33
2026	8	-90.4%	-1.8%	-0	-0	0	(0)	-24	24	21
2027	10	24.3%	1.4%	0	0	0	(1)	1	-1	-0
2028	12	18.4%	4.5%	1	1	0	(1)	1	-0	-0
2029	18	50.0%	7.7%	1	1	1	(1)	2	-1	-0
2030	19	4.3%	7.7%	1	1	1	(1)	0	1	1
2031	20	4.1%	7.7%	2	2	1	(1)	0	1	1
2032	21	3.8%	7.7%	2	2	1	(1)	0	1	1
2033	21	3.5%	7.7%	2	2	1	(1)	0	1	1
2034	22	3.3%	7.7%	2	2	1	(1)	0	1	1

Enterprise Value Bridge

Sum of PV(FCFF)56

Terminal Value (Gordon Growth at 3.0%)26

PV of Terminal Value14

Enterprise Value70

(–) Net Debt16

Equity Value54

(÷) Shares Outstanding17

Fair Value per Share$3.15

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.0%	$2	$3	$4	$6	$7
6.0%	$2	$3	$4	$5	$5
7.0%	$2	$2	$3	$4	$5
8.0%	$2	$2	$3	$3	$4
9.0%	$2	$2	$3	$3	$4

Current price: $1.97. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.5% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Westport Fuel Systems Inc. (WPRT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$2.14

Market Price

$1.97

Upside / Downside

+8.6%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-8.2%

Target Operating Margin

7.7%

WACC

7.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

4.5%

Target CapEx/Rev

6.2%

D&A/Revenue

4.1%

Tax Rate

0.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2025	86	-71.5%	-5.0%	-4	-4	4	(4)	-39	34	33
2026	8	-90.4%	-1.8%	-0	-0	0	(0)	-24	23	21
2027	10	24.3%	1.4%	0	0	0	(1)	1	-1	-1
2028	12	18.4%	4.5%	1	1	0	(1)	1	-0	-0
2029	18	50.0%	7.7%	1	1	1	(1)	2	-1	-1

Enterprise Value Bridge

Sum of PV(FCFF)53

Terminal Value (Gordon Growth at 3.0%)0

PV of Terminal Value0

Enterprise Value53

(–) Net Debt16

Equity Value37

(÷) Shares Outstanding17

Fair Value per Share$2.14

Note:Terminal value is $0 because Year 5 FCFF is negative. The company's operating margin convergence does not fully offset reinvestment needs within 5 years. See the sensitivity matrix for scenarios where the model produces a positive terminal value (higher target margin or lower WACC).

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.0%	$2	$2	$2	$2	$3
6.0%	$2	$2	$2	$2	$3
7.0%	$2	$2	$2	$2	$3
8.0%	$2	$2	$2	$2	$3
9.0%	$2	$2	$2	$2	$2

Current price: $1.97. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.5% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$3.52

Market Price

$1.97

Upside / Downside

+78.6%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Westport Fuel Systems Inc. (WPRT) has a fair value of $3.52 based on 7 comparable companies in the Auto - Parts industry.

EV/Revenue Valuation — Auto - Parts

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Westport Fuel Systems Inc.WPRT	34	0.5x	0.1x
Vince Holding Corp.VNCE	60	0.6x	0.5x
Noodles & CompanyNDLS	56	0.7x	0.6x
MKDWELL Tech Inc.MKDW	37	22.3x	—
NextTrip, Inc.NTRP	23	45.1x	49.3x
The Brand House Collective, Inc.TBHC	21	0.5x	0.4x
Leslie's, Inc.LESL	16	0.8x	0.7x
Foresight Autonomous Holdings Ltd.FRSX	10	14.0x	7.5x
Industry Median		0.8x	0.7x
(*) Revenue		23	86
= Enterprise Value		18	59
(-) Net Debt		-22	-22
Equity Value		41	81
(/) Outstanding shares		17	17
Fair Price		$2	$5

Selected Fair Value (avg of trailing + forward)

$3.52

+78.6%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Westport Fuel Systems Inc. (WPRT) Valuation Summary

Updated Apr 20, 2026 22:16

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$1.94 – $3.01	$2.14	-0.8%
Revenue DCF 10Y	$1.93 – $7.21	$3.15	+45.6%
▸ Trading Multiples
EV/Revenue	$9.71 – $389.89	$7.60	+252.0%

Valuation History

DCF Analysis

Westport Fuel Systems Inc. (WPRT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$3.15

Market Price

$1.97

Upside / Downside

+59.9%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-8.2%

Target Operating Margin

7.7%

WACC

7.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

4.5%

Target CapEx/Rev

6.2%

D&A/Revenue

4.1%

Tax Rate

0.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2025	86	-71.5%	-5.0%	-4	-4	4	(4)	-39	34	33
2026	8	-90.4%	-1.8%	-0	-0	0	(0)	-24	24	21
2027	10	24.3%	1.4%	0	0	0	(1)	1	-1	-0
2028	12	18.4%	4.5%	1	1	0	(1)	1	-0	-0
2029	18	50.0%	7.7%	1	1	1	(1)	2	-1	-0
2030	19	4.3%	7.7%	1	1	1	(1)	0	1	1
2031	20	4.1%	7.7%	2	2	1	(1)	0	1	1
2032	21	3.8%	7.7%	2	2	1	(1)	0	1	1
2033	21	3.5%	7.7%	2	2	1	(1)	0	1	1
2034	22	3.3%	7.7%	2	2	1	(1)	0	1	1

Enterprise Value Bridge

Sum of PV(FCFF)56

Terminal Value (Gordon Growth at 3.0%)26

PV of Terminal Value14

Enterprise Value70

(–) Net Debt16

Equity Value54

(÷) Shares Outstanding17

Fair Value per Share$3.15

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.0%	$2	$3	$4	$6	$7
6.0%	$2	$3	$4	$5	$5
7.0%	$2	$2	$3	$4	$5
8.0%	$2	$2	$3	$3	$4
9.0%	$2	$2	$3	$3	$4

Current price: $1.97. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.5% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Westport Fuel Systems Inc. (WPRT) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$2.14

Market Price

$1.97

Upside / Downside

+8.6%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-8.2%

Target Operating Margin

7.7%

WACC

7.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

4.5%

Target CapEx/Rev

6.2%

D&A/Revenue

4.1%

Tax Rate

0.0%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2025	86	-71.5%	-5.0%	-4	-4	4	(4)	-39	34	33
2026	8	-90.4%	-1.8%	-0	-0	0	(0)	-24	23	21
2027	10	24.3%	1.4%	0	0	0	(1)	1	-1	-1
2028	12	18.4%	4.5%	1	1	0	(1)	1	-0	-0
2029	18	50.0%	7.7%	1	1	1	(1)	2	-1	-1

Enterprise Value Bridge

Sum of PV(FCFF)53

Terminal Value (Gordon Growth at 3.0%)0

PV of Terminal Value0

Enterprise Value53

(–) Net Debt16

Equity Value37

(÷) Shares Outstanding17

Fair Value per Share$2.14

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	1.7%	4.7%	7.7%	10.7%	13.7%
5.0%	$2	$2	$2	$2	$3
6.0%	$2	$2	$2	$2	$3
7.0%	$2	$2	$2	$2	$3
8.0%	$2	$2	$2	$2	$3
9.0%	$2	$2	$2	$2	$2

Current price: $1.97. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.5% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$3.52

Market Price

$1.97

Upside / Downside

+78.6%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Westport Fuel Systems Inc. (WPRT) has a fair value of $3.52 based on 7 comparable companies in the Auto - Parts industry.

EV/Revenue Valuation — Auto - Parts

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Westport Fuel Systems Inc.WPRT	34	0.5x	0.1x
Vince Holding Corp.VNCE	60	0.6x	0.5x
Noodles & CompanyNDLS	56	0.7x	0.6x
MKDWELL Tech Inc.MKDW	37	22.3x	—
NextTrip, Inc.NTRP	23	45.1x	49.3x
The Brand House Collective, Inc.TBHC	21	0.5x	0.4x
Leslie's, Inc.LESL	16	0.8x	0.7x
Foresight Autonomous Holdings Ltd.FRSX	10	14.0x	7.5x
Industry Median		0.8x	0.7x
(*) Revenue		23	86
= Enterprise Value		18	59
(-) Net Debt		-22	-22
Equity Value		41	81
(/) Outstanding shares		17	17
Fair Price		$2	$5

Selected Fair Value (avg of trailing + forward)

$3.52

+78.6%