PLXS
Plexus Corp.
$265.72
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Overvalued
Trading 99.4% above fair value
You pay
$265.72
Bear
$106.59
Fair
$133.24
Bull
$159.89
Bear
$106.59
-59.9%
$6.26 × 12x P/E
Fair
$133.24
-49.9%
$6.26 × 15x P/E
Bull
$159.89
-39.8%
$6.26 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
42.4x
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 $251.25 from 18 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $133.24 per share.
Warnings
Wall Street's average price target is $251.25 (from 18 analysts). Our estimate is 63% 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