COO
The Cooper Companies, Inc.
$70.70
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Mild
·
Conviction
Fair Value
Trading 1.2% below fair value
You pay
$70.70
Bear
$57.22
Fair
$71.53
Bull
$85.83
Bear
$57.22
-19.1%
$3.98 × 14x P/E
Fair
$71.53
+1.2%
$3.98 × 17x P/E
Bull
$85.83
+21.4%
$3.98 × 21x P/E
Key Value Driver
Normalized P/E multiple (17x base case)
Implied Market Multiple
17.8x
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 $80.33 from 25 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $71.53 per share.
Warnings
The company's reported profits differ from official accounting profits by 113%. Check what costs are being left out of the adjusted number.
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