VLTO Veralto Corporation
$98.77
Stable Earnings Power 50%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 75.1% above fair value

You pay $98.77
Bear $45.12
Fair $56.40
Bull $67.68
Bear $45.12 -54.3% $3.76 × 12x P/E
Fair $56.40 -42.9% $3.76 × 15x P/E
Bull $67.68 -31.5% $3.76 × 18x P/E

Adjust Assumptions

15.0x
3.76$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 26.3x

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (13 analysts) $110.00
Divergence from AlphaVal 49%

Summary

Applying a 15x P/E to adjusted EPS of $3.76, the base-case value is $56.40 per share.

Warnings

Wall Street's average price target is $110.00 (from 13 analysts). Our estimate is 49% below the consensus -- consider that gap carefully.

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