Edwards Lifesciences Corporation logo EW - Edwards Lifesciences Corporation

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 32
HOLD 16
SELL 0
STRONG
SELL
0
| PRICE TARGET: $97.08 DETAILS
HIGH: $110.00
LOW: $85.00
MEDIAN: $95.00
CONSENSUS: $97.08
UPSIDE: 13.17%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Strong
Trading 66.9% above fair value
Current Price $85.78
Bear Case $41.12 52.1% downside ($41.12 - $85.78) / $85.78 = -52.1% $1.99 × 13x P/E
Fair Value $51.41 40.1% downside ($51.41 - $85.78) / $85.78 = -40.1% $1.99 × 16x P/E
Bull Case $61.69 28.1% downside ($61.69 - $85.78) / $85.78 = -28.1% $1.99 × 19x P/E

Adjust Assumptions

16.0x
1.99$

Key Value Driver

Normalized P/E multiple (16x base case)

Implied Market Multiple 43.1x

Plain-Language Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $97.08 from 48 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $51.41 per share.

Warnings

Wall Street's average price target is $97.08 (from 48 analysts). Our estimate is 67% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples