AORT Artivion, Inc.
$25.00
Stable Earnings Power 80%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 76.9% above fair value

You pay $25.00
Bear $11.30
Fair $14.13
Bull $16.94
Bear $11.30 -54.8% $0.42 × 14x P/E
Fair $14.13 -43.5% $0.42 × 18x P/E
Bull $16.94 -32.2% $0.42 × 21x P/E

Key Value Driver

Normalized P/E multiple (18x base case)

Implied Market Multiple 59.1x

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 $40.50 from 12 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $14.13 per share.

Warnings

The company's reported profits differ from official accounting profits by 101%. Check what costs are being left out of the adjusted number.
Wall Street's average price target is $40.50 (from 12 analysts). Our estimate is 81% below the consensus -- consider that gap carefully.

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