MASS
908 Devices Inc.
$7.95
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Undervalued
Trading 38.3% below fair value
You pay
$7.95
Bear
$10.31
Fair
$12.88
Bull
$15.46
Bear
$10.31
+29.6%
$0.62 × 17x P/E
Fair
$12.88
+62.0%
$0.62 × 21x P/E
Bull
$15.46
+94.5%
$0.62 × 25x P/E
Key Value Driver
Normalized P/E multiple (21x base case)
Implied Market Multiple
12.9x
Summary
Applying a 21x P/E to adjusted EPS of $0.62, the base-case value is $12.88 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