KODK
Eastman Kodak Company
$9.82
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Mild
·
Conviction
Fair Value
Trading 2.3% below fair value
You pay
$9.82
Bear
$8.04
Fair
$10.05
Bull
$12.06
Bear
$8.04
-18.1%
$0.67 × 12x P/E
Fair
$10.05
+2.3%
$0.67 × 15x P/E
Bull
$12.06
+22.8%
$0.67 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
14.7x
Summary
Applying a 15x P/E to adjusted EPS of $0.67, the base-case value is $10.05 per share.
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