COHR Coherent, Inc.
$305.37
Stable Earnings Power 40%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 269.3% above fair value

You pay $305.37
Bear $66.15
Fair $82.69
Bull $99.22
Bear $66.15 -78.3% $4.12 × 16x P/E
Fair $82.69 -72.9% $4.12 × 20x P/E
Bull $99.22 -67.5% $4.12 × 24x P/E

Adjust Assumptions

20.1x
4.12$

Key Value Driver

Normalized P/E multiple (20x base case)

Implied Market Multiple 74.1x

Analyst Consensus (External Reference)

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

Average Target (31 analysts) $390.38
Divergence from AlphaVal 79%

Summary

Applying a 20x P/E to adjusted EPS of $4.12, the base-case value is $82.69 per share.

Warnings

Wall Street's average price target is $390.38 (from 31 analysts). Our estimate is 79% 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