Cabot Corporation logo CBT - Cabot Corporation

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY 0
BUY 7
HOLD 7
SELL 1
STRONG
SELL 0
| PRICE TARGET: $82.00 DETAILS
HIGH: $86.00
LOW: $75.00
MEDIAN: $85.00
CONSENSUS: $82.00
DOWNSIDE: 1.69%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 50% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Overvalued Mild
Trading 0.5% above fair value
Current Price $83.41
Bear Case $74.19 11.0% downside ($74.19 - $83.41) / $83.41 = -11.0% 3% stage 1 growth, 11% discount
Fair Value $82.99 0.5% downside ($82.99 - $83.41) / $83.41 = -0.5% 4% stage 1 growth, 11% discount
Bull Case $92.91 11.4% upside ($92.91 - $83.41) / $83.41 = 11.4% 6% stage 1 growth, 11% discount

Adjust Assumptions

4.2%
11.0%
3.0%

Key Value Driver

FCF growth rate (4% base case)

Terminal Value % of EV 34%
Implied Market Multiple 14.1x

Plain-Language Summary

Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $82.00 from 15 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $82.99 per share.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions