PLTK
Playtika Holding Corp.
$3.42
Platform & Compounding FCF
80%
Two-stage FCF DCF
Strong
·
Conviction
Undervalued
Trading 73.6% below fair value
You pay
$3.42
Bear
$12.84
Fair
$12.93
Bull
$14.15
Bear
$12.84
+275.3%
3% stage 1 growth, 11% discount
Fair
$12.93
+278.1%
3% stage 1 growth, 11% discount
Bull
$14.15
+313.7%
4% stage 1 growth, 11% discount
Key Value Driver
FCF growth rate (3% base case)
Terminal Value % of EV
33%
Implied Market Multiple
5.9x
Summary
Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $11.89 from 16 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $12.93 per share.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions