SNX
TD SYNNEX Corporation
$237.34
Platform & Compounding FCF
85%
Two-stage FCF DCF
Moderate
·
Conviction
Undervalued
Trading 27.9% below fair value
You pay
$237.34
Bear
$215.42
Fair
$329.03
Bull
$449.98
Bear
$215.42
-9.2%
8% stage 1 growth, 12% discount
Fair
$329.03
+38.6%
13% stage 1 growth, 12% discount
Bull
$449.98
+89.6%
17% stage 1 growth, 12% discount
Key Value Driver
FCF growth rate (13% base case)
Terminal Value % of EV
37%
Implied Market Multiple
15.9x
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 $195.00 from 24 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $329.03 per share.
Warnings
Wall Street's average price target is $195.00 (from 24 analysts). Our estimate is 92% above the consensus -- consider that gap carefully.
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