EPAC
Enerpac Tool Group Corp.
$34.93
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Overvalued
Trading 37.0% above fair value
You pay
$34.93
Bear
$20.40
Fair
$25.50
Bull
$30.60
Bear
$20.40
-41.6%
$1.70 × 12x P/E
Fair
$25.50
-27.0%
$1.70 × 15x P/E
Bull
$30.60
-12.4%
$1.70 × 18x P/E
Adjust Assumptions
15.0x
1.7$
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
20.5x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (19 analysts)
$50.00
Divergence from AlphaVal
49%
Summary
Applying a 15x P/E to adjusted EPS of $1.70, the base-case value is $25.50 per share.
Warnings
Wall Street's average price target is $50.00 (from 19 analysts). Our estimate is 49% below 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