CMBT
Cmb.Tech N.V.
$15.44
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Undervalued
Trading 57.5% below fair value
You pay
$15.44
Bear
$29.04
Fair
$36.30
Bull
$43.56
Bear
$29.04
+88.1%
$2.42 × 12x P/E
Fair
$36.30
+135.1%
$2.42 × 15x P/E
Bull
$43.56
+182.1%
$2.42 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
6.4x
Summary
Applying a 15x P/E to adjusted EPS of $2.42, the base-case value is $36.30 per share.
Warnings
The company's reported profits differ from official accounting profits by 232%. Check what costs are being left out of the adjusted number.
The company pays out 125% of its profits as dividends. That leaves little cushion — the dividend could be cut if business slows down.
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