Avanos Medical, Inc. logo AVNS - Avanos Medical, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 1
HOLD 6
SELL 1
STRONG
SELL
0
| PRICE TARGET: $23.00 DETAILS
HIGH: $26.00
LOW: $20.00
MEDIAN: $23.00
CONSENSUS: $23.00
DOWNSIDE: 6.54%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 40% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Strong
Trading 41.1% above fair value
Current Price $24.61
Bear Case $13.95 43.3% downside ($13.95 - $24.61) / $24.61 = -43.3% $1.07 × 12x P/E
Fair Value $17.44 29.1% downside ($17.44 - $24.61) / $24.61 = -29.1% $1.07 × 15x P/E
Bull Case $20.93 15.0% downside ($20.93 - $24.61) / $24.61 = -15.0% $1.07 × 18x P/E

Adjust Assumptions

15.0x
1.07$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 23.0x

Plain-Language 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 $23.00 from 8 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $17.44 per share.

Warnings

Wall Street's average price target is $23.00 (from 8 analysts). Our estimate is 30% 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