VIAC
Paramount Global
$29.58
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Strong
·
Conviction
Undervalued
Trading 62.1% below fair value
You pay
$29.58
Bear
$62.38
Fair
$77.98
Bull
$93.57
Bear
$62.38
+110.9%
$3.47 × 18x P/E
Fair
$77.98
+163.6%
$3.47 × 22x P/E
Bull
$93.57
+216.3%
$3.47 × 27x P/E
Key Value Driver
Normalized P/E multiple (22x base case)
Implied Market Multiple
8.5x
Summary
Applying a 22x P/E to adjusted EPS of $3.47, the base-case value is $77.98 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