BIP - Brookfield Infrastructure Partners L.P.
Price:
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CONSENSUS:
Buy
DETAILS
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PRICE TARGET:
$46.20
DETAILS
HIGH:
$57.00
LOW:
$41.00
MEDIAN:
$44.00
CONSENSUS:
$46.20
UPSIDE:
16.55%
AlphaVal
Deterministic, archetype-aware fair value
Stable Earnings Power
85% confidence
Primary model: P/Adj-EPS × Normalized Multiple
Adjust Assumptions
24.0x
3.75$
Key Value Driver
Normalized P/E multiple (24x base case)
Implied Market Multiple
10.6x
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 $46.20 from 16 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $79.02 per share.
Warnings
The company's reported profits differ from official accounting profits by 282%. Check what costs are being left out of the adjusted number.
The company pays out 181% of its profits as dividends. That leaves little cushion — the dividend could be cut if business slows down.
Wall Street's average price target is $46.20 (from 16 analysts). Our estimate is 95% above 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