INFA Informatica Inc.
$24.79
Stable Earnings Power 50%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 283.6% above fair value

You pay $24.79
Bear $5.41
Fair $6.46
Bull $7.52
Bear $5.41 -78.2% $0.07 × 18x P/E
Fair $6.46 -73.9% $0.07 × 22x P/E
Bull $7.52 -69.7% $0.07 × 25x P/E

Key Value Driver

Normalized P/E multiple (22x base case)

Implied Market Multiple 378.5x

Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $26.67 from 14 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $6.46 per share.

Warnings

The company's reported profits differ from official accounting profits by 107%. Check what costs are being left out of the adjusted number.
Wall Street's average price target is $26.67 (from 14 analysts). Our estimate is 95% 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