VPG Vishay Precision Group, Inc.
$65.37
Stable Earnings Power 40%
P/Adj-EPS × Normalized Multiple
Strong · Conviction

Overvalued

Trading 194.5% above fair value

You pay $65.37
Bear $17.76
Fair $22.20
Bull $26.64
Bear $17.76 -72.8% $1.48 × 12x P/E
Fair $22.20 -66.0% $1.48 × 15x P/E
Bull $26.64 -59.2% $1.48 × 18x P/E

Adjust Assumptions

15.0x
1.48$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 44.2x

Analyst Consensus (External Reference)

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

Average Target (6 analysts) $98.00
Divergence from AlphaVal 77%

Summary

Applying a 15x P/E to adjusted EPS of $1.48, the base-case value is $22.20 per share.

Warnings

The company's reported profits differ from official accounting profits by 270%. Check what costs are being left out of the adjusted number.
Wall Street's average price target is $98.00 (from 6 analysts). Our estimate is 77% 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