MTD Mettler-Toledo International Inc.
$1,103.09
Stable Earnings Power 80%
P/Adj-EPS × Normalized Multiple
Moderate · Conviction

Overvalued

Trading 30.1% above fair value

You pay $1,103.09
Bear $678.22
Fair $847.78
Bull $1,017.34
Bear $678.22 -38.5% $43.31 × 12x P/E
Fair $847.78 -23.1% $43.31 × 15x P/E
Bull $1,017.34 -7.8% $43.31 × 18x P/E

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 25.5x

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 $1442.00 from 19 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $847.78 per share.

Warnings

Wall Street's average price target is $1442.00 (from 19 analysts). Our estimate is 55% 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