CXT
Crane NXT, Co.
$54.56
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Mild
·
Conviction
Overvalued
Trading 6.1% above fair value
You pay
$54.56
Bear
$41.14
Fair
$51.41
Bull
$61.70
Bear
$41.14
-24.6%
$3.28 × 12x P/E
Fair
$51.41
-5.8%
$3.28 × 15x P/E
Bull
$61.70
+13.1%
$3.28 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
16.7x
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 $60.50 from 7 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $51.41 per share.
Warnings
The company's reported profits differ from official accounting profits by 31%. 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