Elanco Animal Health Incorporated logo ELAN - Elanco Animal Health Incorporated

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 14
HOLD 4
SELL 2
STRONG
SELL
0
| PRICE TARGET: $28.67 DETAILS
HIGH: $30.00
LOW: $23.00
MEDIAN: $30.00
CONSENSUS: $28.67
UPSIDE: 31.94%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 50% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Overvalued Strong
Trading 190.1% above fair value
Current Price $21.73
Bear Case $0.00 100.0% downside ($0.00 - $21.73) / $21.73 = -100.0% 5% stage 1 growth, 12% discount
Fair Value $7.49 65.5% downside ($7.49 - $21.73) / $21.73 = -65.5% 8% stage 1 growth, 12% discount
Bull Case $30.31 39.5% upside ($30.31 - $21.73) / $21.73 = 39.5% 10% stage 1 growth, 12% discount

Adjust Assumptions

7.6%
12.0%
3.0%

Key Value Driver

FCF growth rate (8% base case)

Terminal Value % of EV 33%
Implied Market Multiple 61.5x

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 $28.67 from 20 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $7.49 per share.

Warnings

Wall Street's average price target is $28.67 (from 20 analysts). Our estimate is 99% below the consensus -- consider that gap carefully.

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