ABCL AbCellera Biologics Inc.
$9.30
Stable Earnings Power 40%
P/Adj-EPS × Normalized Multiple
Mild · Conviction

Fair Value

Trading 0.7% below fair value

You pay $9.34
Bear $8.07
Fair $9.41
Bull $10.76
Bear $8.07 -13.6% $0.46 × 18x P/E
Fair $9.41 +0.7% $0.46 × 21x P/E
Bull $10.76 +15.2% $0.46 × 24x P/E

Key Value Driver

Normalized P/E multiple (21x base case)

Implied Market Multiple 20.1x

Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $8.00 from 12 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $9.41 per share.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples