ANIK
Anika Therapeutics, Inc.
$15.36
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Undervalued
Trading 45.8% below fair value
You pay
$15.36
Bear
$22.68
Fair
$28.35
Bull
$34.02
Bear
$22.68
+47.7%
$1.89 × 12x P/E
Fair
$28.35
+84.6%
$1.89 × 15x P/E
Bull
$34.02
+121.5%
$1.89 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
8.1x
Summary
Applying a 15x P/E to adjusted EPS of $1.89, the base-case value is $28.35 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