Corteva, Inc. logo CTVA - Corteva, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 23
HOLD 12
SELL 2
STRONG
SELL
0
| PRICE TARGET: $88.17 DETAILS
HIGH: $95.00
LOW: $82.00
MEDIAN: $88.00
CONSENSUS: $88.17
UPSIDE: 10.69%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Cyclical & Capital-Intensive 80% confidence

Primary model: Normalized Earnings × Cycle Multiple

Valuation Signal Overvalued Strong
Trading 104.2% above fair value
Current Price $79.66
Bear Case $30.41 61.8% downside ($30.41 - $79.66) / $79.66 = -61.8% $1.58 × 7x + net cash
Fair Value $39.00 51.0% downside ($39.00 - $79.66) / $79.66 = -51.0% $1.58 × 10x + net cash
Bull Case $47.59 40.2% downside ($47.59 - $79.66) / $79.66 = -40.2% $1.58 × 12x + net cash

Adjust Assumptions

9.5x
1.58$

Key Value Driver

Through-cycle normalized EPS ($1.58)

Implied Market Multiple 50.4x

Plain-Language Summary

Our base-case estimate uses Normalized Earnings × Cycle Multiple. We then blend that result with the average analyst price target of $88.17 from 37 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $39.00 per share.

Warnings

Price-to-book value of 9.9x is above the normal range for this type of business (0.7x-2.0x). The stock may already price in a strong cycle.
Wall Street's average price target is $88.17 (from 37 analysts). Our estimate is 80% below the consensus -- consider that gap carefully.

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