Conagra Brands, Inc. logo CAG - Conagra Brands, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
1
BUY 5
HOLD 15
SELL 4
STRONG
SELL
0
| PRICE TARGET: $17.70 DETAILS
HIGH: $22.00
LOW: $15.00
MEDIAN: $18.00
CONSENSUS: $17.70
UPSIDE: 30.53%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Undervalued Strong
Trading 67.4% below fair value
Current Price $13.56
Bear Case $34.24 152.5% upside ($34.24 - $13.56) / $13.56 = 152.5% $2.91 × 14x P/E
Fair Value $41.59 206.7% upside ($41.59 - $13.56) / $13.56 = 206.7% $2.91 × 17x P/E
Bull Case $48.92 260.8% upside ($48.92 - $13.56) / $13.56 = 260.8% $2.91 × 20x P/E

Adjust Assumptions

17.0x
2.91$

Key Value Driver

Normalized P/E multiple (17x base case)

Implied Market Multiple 4.7x

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 $17.70 from 25 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $41.59 per share.

Warnings

Dividend-based valuation: $24.98 (below our primary estimate by 50%). Large gaps may signal the dividend doesn't reflect full earning power.
Wall Street's average price target is $17.70 (from 25 analysts). Our estimate is 180% 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