TCNNF Trulieve Cannabis Corp.
$8.78
Platform & Compounding FCF 85%
Two-stage FCF DCF
Strong · Conviction

Undervalued

Trading 52.6% below fair value

You pay $8.78
Bear $18.51
Fair $18.51
Bull $19.88
Bear $18.51 +110.8% 3% stage 1 growth, 12% discount
Fair $18.51 +110.8% 3% stage 1 growth, 12% discount
Bull $19.88 +126.4% 4% stage 1 growth, 12% discount

Key Value Driver

FCF growth rate (3% base case)

Terminal Value % of EV 28%
Implied Market Multiple 9.2x
Market is pricing in (growth) -0.2% vs 3.0% base

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 $47.21 from 9 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $18.51 per share.

Warnings

Wall Street's average price target is $47.21 (from 9 analysts). Our estimate is 76% below 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