VFC
V.F. Corporation
$16.70
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Moderate
·
Conviction
Fair Value
Trading 21.0% below fair value
You pay
$16.70
Bear
$16.91
Fair
$21.14
Bull
$25.37
Bear
$16.91
+1.2%
$1.43 × 12x P/E
Fair
$21.14
+26.6%
$1.43 × 15x P/E
Bull
$25.37
+51.9%
$1.43 × 18x P/E
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
11.7x
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 $20.50 from 58 analysts, using a 35% weight on analyst consensus. That produces an estimated intrinsic value of $21.14 per share.
Warnings
The company's reported profits differ from official accounting profits by 124%. Check what costs are being left out of the adjusted number.
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