FRPH FRP Holdings, Inc.
$22.63
Stable Earnings Power 75%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 161.2% above fair value

You pay $22.63
Bear $6.93
Fair $8.66
Bull $10.40
Bear $6.93 -69.4% $0.47 × 15x P/E
Fair $8.66 -61.7% $0.47 × 19x P/E
Bull $10.40 -54.1% $0.47 × 22x P/E

Key Value Driver

Normalized P/E multiple (19x base case)

Implied Market Multiple 48.4x

Summary

Applying a 19x P/E to adjusted EPS of $0.47, the base-case value is $8.66 per share.

Warnings

The company's reported profits differ from official accounting profits by 175%. 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