CASY Casey's General Stores, Inc.
$615.47
Stable Earnings Power 80%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 48.4% above fair value

You pay $615.47
Bear $362.97
Fair $414.82
Bull $466.67
Bear $362.97 -41.0% $19.16 × 19x P/E
Fair $414.82 -32.6% $19.16 × 22x P/E
Bull $466.67 -24.2% $19.16 × 24x P/E

Adjust Assumptions

21.7x
19.16$

Key Value Driver

Normalized P/E multiple (22x base case)

Implied Market Multiple 32.1x

Analyst Consensus (External Reference)

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

Average Target (26 analysts) $823.57
Divergence from AlphaVal 50%

Summary

Applying a 22x P/E to adjusted EPS of $19.16, the base-case value is $414.82 per share.

Warnings

Wall Street's average price target is $823.57 (from 26 analysts). Our estimate is 50% 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