NE
Noble Corporation Plc
$45.28
Oil & Gas E&P
85%
FCF at Price Deck × Multiple
Strong
·
Conviction
Overvalued
Trading 414.1% above fair value
You pay
$45.28
Bear
$0.00
Fair
$8.81
Bull
$20.74
Bear
$0.00
-100.0%
FCF $185M × 8x
Fair
$8.81
-80.5%
FCF $265M × 11x
Bull
$20.74
-54.2%
FCF $344M × 14x
Adjust Assumptions
75.0$/bbl
11.0x
Key Value Driver
Oil price assumption ($75/bbl base case)
Implied Market Multiple
33.0x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (51 analysts)
$50.67
Divergence from AlphaVal
83%
Summary
At $75/bbl oil with a 11x EV/FCF multiple, intrinsic value is $8.81 per share. Range: $0.00 (bear) to $20.74 (bull).
Warnings
If oil drops to $60/barrel, the stock could fall -100%. Check whether the company can survive at low prices and still pay its dividend.
Where you think oil prices will settle long-term drives over 80% of this valuation. The biggest risk isn't the company itself — it's getting the commodity price wrong.
Wall Street's average price target is $50.67 (from 51 analysts). Our estimate is 83% below the consensus -- consider that gap carefully.
Key Risks
- Growth DCF inappropriate — commodity volumes do not compound
- Geopolitical premiums are real but historically temporary
- Reserve replacement ratio below 100% for 3 years is existential