BRBR BellRing Brands, Inc.
$10.45
Platform & Compounding FCF 85%
Two-stage FCF DCF
Strong · Conviction

Undervalued

Trading 58.2% below fair value

You pay $10.45
Bear $23.35
Fair $24.97
Bull $27.80
Bear $23.35 +123.5% 3% stage 1 growth, 11% discount
Fair $24.97 +139.0% 4% stage 1 growth, 11% discount
Bull $27.80 +166.0% 5% stage 1 growth, 11% discount

Adjust Assumptions

3.7%
11.0%
3.0%

Key Value Driver

FCF growth rate (4% base case)

Terminal Value % of EV 33%
Implied Market Multiple 7.7x
Market is pricing in (growth) -4.3% vs 3.7% base

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (21 analysts) $13.20
Divergence from AlphaVal 89%

Summary

Using a two-stage FCF DCF with 4% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $24.97 per share.

Warnings

Wall Street's average price target is $13.20 (from 21 analysts). Our estimate is 89% 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