CDNL - Cardinal Infrastructure Group Inc.
Price:
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CONSENSUS:
Buy
DETAILS
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PRICE TARGET:
$52.33
DETAILS
HIGH:
$70.00
LOW:
$35.00
MEDIAN:
$52.00
CONSENSUS:
$52.33
UPSIDE:
15.93%
AlphaVal
Deterministic, archetype-aware fair value
Cyclical & Capital-Intensive
70% confidence
Primary model: Normalized Earnings × Cycle Multiple
Adjust Assumptions
18.0x
1.53$
Key Value Driver
Through-cycle normalized EPS ($1.53)
Implied Market Multiple
29.5x
Plain-Language Summary
Using 2-year normalized EPS of $1.53 at a 18x cycle multiple, the base-case value is $27.54 per share. P/TBV cross-check: 35.5x.
Warnings
Price-to-book value of 35.5x is above the normal range for this type of business (0.7x-2.0x). The stock may already price in a strong cycle.
Key Risks
- Standard 10-year DCF produces unreliable terminal values for cyclicals
- 'Cheap' P/E at cycle peak is the most common value trap — normalize first
- Captive finance subsidiaries have different risk profiles from manufacturing