DAR
Darling Ingredients Inc.
$65.19
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Fair Value
Trading 16.1% below fair value
You pay
$65.19
Bear
$64.00
Fair
$77.72
Bull
$91.43
Bear
$64.00
-1.8%
$3.90 × 16x P/E
Fair
$77.72
+19.2%
$3.90 × 20x P/E
Bull
$91.43
+40.3%
$3.90 × 23x P/E
Adjust Assumptions
19.9x
3.9$
Key Value Driver
Normalized P/E multiple (20x base case)
Implied Market Multiple
16.7x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (25 analysts)
$70.00
Divergence from AlphaVal
11%
Summary
Applying a 20x P/E to adjusted EPS of $3.90, the base-case value is $77.72 per share.
Warnings
The company's reported profits differ from official accounting profits by 900%. 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