CRSP
CRISPR Therapeutics AG
$50.36
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Undervalued
Trading 43.1% below fair value
You pay
$50.36
Bear
$75.83
Fair
$88.47
Bull
$101.11
Bear
$75.83
+50.6%
$4.70 × 18x P/E
Fair
$88.47
+75.7%
$4.70 × 21x P/E
Bull
$101.11
+100.8%
$4.70 × 24x P/E
Key Value Driver
Normalized P/E multiple (21x base case)
Implied Market Multiple
10.7x
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 $64.60 from 38 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $88.47 per share.
Warnings
Wall Street's average price target is $64.60 (from 38 analysts). Our estimate is 53% above 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