COCO
The Vita Coco Company, Inc.
$76.04
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Overvalued
Trading 90.1% above fair value
You pay
$76.04
Bear
$34.29
Fair
$40.00
Bull
$45.72
Bear
$34.29
-54.9%
$1.19 × 24x P/E
Fair
$40.00
-47.4%
$1.19 × 28x P/E
Bull
$45.72
-39.9%
$1.19 × 32x P/E
Key Value Driver
Normalized P/E multiple (28x base case)
Implied Market Multiple
63.9x
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 $67.86 from 14 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $40.00 per share.
Warnings
Wall Street's average price target is $67.86 (from 14 analysts). Our estimate is 51% 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