ENTG
Entegris, Inc.
$134.52
Platform & Compounding FCF
70%
Two-stage FCF DCF
Strong
·
Conviction
Overvalued
Trading 171.9% above fair value
You pay
$134.52
Bear
$29.04
Fair
$49.48
Bull
$70.20
Bear
$29.04
-78.4%
7% stage 1 growth, 12% discount
Fair
$49.48
-63.2%
11% stage 1 growth, 12% discount
Bull
$70.20
-47.8%
15% stage 1 growth, 12% discount
Adjust Assumptions
11.5%
12.0%
3.0%
Key Value Driver
FCF growth rate (11% base case)
Terminal Value % of EV
36%
Implied Market Multiple
45.5x
Market is pricing in (growth)
22.0%
vs 11.5% base
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (27 analysts)
$186.56
Divergence from AlphaVal
73%
Summary
Using a two-stage FCF DCF with 11% growth decelerating over 15 years, discounted at 12%, the base-case intrinsic value is $49.48 per share.
Warnings
Wall Street's average price target is $186.56 (from 27 analysts). Our estimate is 73% below the consensus -- consider that gap carefully.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions