IBTA Ibotta, Inc.
$38.39
Platform & Compounding FCF 85%
Two-stage FCF DCF
Moderate · Conviction

Undervalued

Trading 30.4% below fair value

You pay $38.39
Bear $38.22
Fair $55.18
Bull $73.71
Bear $38.22 -0.4% 9% stage 1 growth, 11% discount
Fair $55.18 +43.7% 14% stage 1 growth, 11% discount
Bull $73.71 +92.0% 19% stage 1 growth, 11% discount

Adjust Assumptions

14.2%
11.0%
3.0%

Key Value Driver

FCF growth rate (14% base case)

Terminal Value % of EV 42%
Implied Market Multiple 19.4x
Market is pricing in (growth) 8.6% vs 14.2% base

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (9 analysts) $39.25
Divergence from AlphaVal 41%

Summary

Using a two-stage FCF DCF with 14% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $55.18 per share.

Warnings

Stock-based employee pay equals 1235% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $39.25 (from 9 analysts). Our estimate is 41% above 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