Corteva, Inc. logo CTVA - Corteva, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 23
HOLD 12
SELL 2
STRONG
SELL
0
| PRICE TARGET: $92.00 DETAILS
HIGH: $103.00
LOW: $86.00
MEDIAN: $90.50
CONSENSUS: $92.00
UPSIDE: 3.08%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Cyclical & Capital-Intensive 80% confidence

Primary model: Normalized Earnings × Cycle Multiple

Valuation Signal Overvalued Strong
Trading 122.3% above fair value
Current Price $89.25
Bear Case $31.31 64.9% downside ($31.31 - $89.25) / $89.25 = -64.9% $1.58 × 7x + net cash
Fair Value $40.15 55.0% downside ($40.15 - $89.25) / $89.25 = -55.0% $1.58 × 10x + net cash
Bull Case $49.00 45.1% downside ($49.00 - $89.25) / $89.25 = -45.1% $1.58 × 12x + net cash

Adjust Assumptions

9.5x
1.58$

Key Value Driver

Through-cycle normalized EPS ($1.58)

Implied Market Multiple 56.5x

Plain-Language Summary

Our base-case estimate uses Normalized Earnings × Cycle Multiple. We then blend that result with the average analyst price target of $92.00 from 37 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $40.15 per share.

Warnings

Price-to-book value of 11.1x 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 $92.00 (from 37 analysts). Our estimate is 81% 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