UTMD
Utah Medical Products, Inc.
$64.51
Stable Earnings Power
80%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Overvalued
Trading 22.8% above fair value
You pay
$64.51
Bear
$42.01
Fair
$52.52
Bull
$63.02
Bear
$42.01
-34.9%
$3.50 × 12x P/E
Fair
$52.52
-18.6%
$3.50 × 15x P/E
Bull
$63.02
-2.3%
$3.50 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
18.4x
Summary
Applying a 15x P/E to adjusted EPS of $3.50, the base-case value is $52.52 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