ANGI
Angi Inc.
$5.52
Platform & Compounding FCF
50%
Two-stage FCF DCF
Strong
·
Conviction
Undervalued
Trading 71.1% below fair value
You pay
$5.52
Bear
$17.36
Fair
$19.10
Bull
$21.19
Bear
$17.36
+214.5%
3% stage 1 growth, 12% discount
Fair
$19.10
+245.9%
4% stage 1 growth, 12% discount
Bull
$21.19
+283.8%
5% stage 1 growth, 12% discount
Key Value Driver
FCF growth rate (4% base case)
Terminal Value % of EV
29%
Implied Market Multiple
4.4x
Summary
Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $9.80 from 54 analysts, using a 35% weight on analyst consensus. That produces an estimated intrinsic value of $19.10 per share.
Warnings
Stock-based employee pay equals 34% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $9.80 (from 54 analysts). Our estimate is 146% above the consensus -- consider that gap carefully.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions