Butler National Corporation
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$4.74
Market Price
$4.16
Undervalued By
12.2%
Method: 10-year unlevered FCF DCF: $18.0M Year-1 FCF base (estimated from $25.8M FY2026 operating cash flow less estimated maintenance/growth capex); 8% annual FCF growth years 1-5, 5% years 6-10; 11% discount rate; 3% terminal growth; net debt assumed near zero (not separately disclosed in available research); 63.8M shares outstanding.
Reasoning: Butler National is a profitable small-cap with two distinct, growing segments (aerospace subsystems manufacturing and a Kansas casino/sportsbook), so a standard FCF DCF is appropriate; the elevated discount rate reflects its small size, OTCQX listing, and reliance on niche end markets.