PPTA
Perpetua Resources Corp.
$25.32
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Overvalued
Trading 667.3% above fair value
You pay
$25.32
Bear
$2.64
Fair
$3.30
Bull
$3.96
Bear
$2.64
-89.6%
$0.22 × 12x P/E
Fair
$3.30
-87.0%
$0.22 × 15x P/E
Bull
$3.96
-84.4%
$0.22 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
115.1x
Summary
Applying a 15x P/E to adjusted EPS of $0.22, the base-case value is $3.30 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