Stock fact sheet · data as of
Motorola Solutions, Inc. (MSI): fair value, margin of safety and Wheel Score
Technology · Communication Equipment · United States · Blend
Is MSI undervalued?
MSI closed at 456.27 on 16 Oct 2026, more than 30% above the GLS average fair value of 329.24. Only 2 of the 9 models that produced a value sit above the price. By our models the shares are priced well beyond what the filed earnings, cash flow and book value support; the Sunday Scan drops names like this at the "below fair value" rule.
There is a wide gap between Graham Number (68.32) and GLS Growth (787.96). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files MSI under Blend.
Nine valuation models for MSI
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 376.80 | -17% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 68.32 | -85% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 345.30 | -24% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 121.87 | -73% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 787.96 | +73% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 409.33 | -10% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 639.34 | +40% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 71.22 | -84% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 143.01 | -69% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -64.43 | -114% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 525.86 | +15% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Motorola Solutions, Inc. scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 8.1/10 puts MSI among the more durable businesses we track: over ten years the metrics the score watches (revenue, EPS, book value, margins, cash flow, ROIC) have mostly moved the right way, year after year.
Returns on capital are high - ROIC 17.7%, ROE 89.4%, ROA 11.1% - with debt at 4.05 times equity and a free-cash-flow yield of 3.5%. Debt of 4.05 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.
The dividend yield is 1.06% with a payout ratio of 36% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Product 58%, Service 42% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 2/10 and Congressional trading 10/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 17.7% |
|---|---|---|---|
| GLS Moat | 8.1 / 10 | ROE | 89.4% |
| Debt / equity | 4.05 | ROA | 11.1% |
| Free-cash-flow yield | 3.5% | Payout ratio | 36% |
| Institutions | 10 / 10 | Insiders · Congress | 2 · 10 / 10 |
Wheel Score 62: Fair
A Wheel Score of 62 puts Motorola Solutions, Inc. in the Fair band - below the 70 the Sunday Scan requires. Value 0/25, Health 13/20, Moat 12/15, Premium 19/20 and Stability 18/20; the weakest part is Value (0/25).
Implied volatility is 34% on the near-the-money contracts 20-60 days out: some premium, but under the 35-60% range the Wheel Score pays full marks for (19 of 20 points). Chain open interest is 14,526 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 799k shares a day on a market cap of $75.5B, with a beta of 0.89; the Stability part of the Wheel Score gives that 18 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 0 / 25 | -39% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 12 / 15 | moat 8.1/10 | |
| Premium | 19 / 20 | implied volatility 34% | |
| Stability | 18 / 20 | 799k shares/day, $75.5B cap, beta 0.89 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Motorola Solutions, Inc. reports earnings on 29 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Communication Equipment
The 12 companies below are the closest to Motorola Solutions, Inc. by market cap within the Communication Equipment industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| LITE Lumentum Holdings Inc. | 869.54 | 100.02 | -769% | 45Weak | $78.8B |
| NOK Nokia Oyj | 9.57 | 3.58 | -168% | 61Fair | $51.7B |
| CIEN Ciena Corporation | 356.52 | 138.15 | -158% | 63Fair | $50.6B |
| UI Ubiquiti Inc. | 605.51 | 354.32 | -71% | 33No options | $36.7B |
| ERIC Telefonaktiebolaget LM Ericsson (publ) | 10.71 | 41.17 | +74% | 86Prime | $34.8B |
| ZBRA Zebra Technologies Corporation | 376.88 | 227.01 | -66% | 60Fair | $17.8B |
| CSCO Cisco Systems, Inc. | 109.85 | 45.16 | -143% | 67Good | $433.1B |
| VIAV Viavi Solutions Inc. | 38.55 | 7.64 | -405% | 45Weak | $9.5B |
| VSAT Viasat, Inc. | 61.73 | 65.02 | +5% | 45Weak | $8.5B |
| AAOI Applied Optoelectronics, Inc. | 83.73 | - | - | 43Weak | $7.1B |
| BDC Belden Inc. | 104.22 | 100.11 | -4% | 72Good | $4.1B |
| ONDS Ondas Holdings Inc. | 6.35 | 9.04 | +30% | 45Weak | $3.7B |
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Start free See the Sunday ScanQuestions about MSI
Is MSI undervalued right now?
No: at 456.27 the stock trades 39% above the GLS average fair value of 329.24 (data as of 16 Oct 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of MSI and what does it mean?
MSI scores 62 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for MSI?
329.24 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Motorola Solutions, Inc. report earnings next?
The next earnings report is due on 29 Oct 2026 (after the close), 13 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does MSI have listed options, and how liquid are they?
Yes. The nightly snapshot found 478 listed contracts with 14,526 open interest across all expiries and implied volatility of 34% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.