Mayville Engineering Company, Inc. logo MEC - Mayville Engineering Company, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 5
HOLD 2
SELL 0
STRONG
SELL
0
| PRICE TARGET: $31.00 DETAILS
HIGH: $32.00
LOW: $30.00
MEDIAN: $31.00
CONSENSUS: $31.00
UPSIDE: 21.81%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 50% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Overvalued Mild
Trading 5.3% above fair value
Current Price $25.45
Bear Case $18.31 28.1% downside ($18.31 - $25.45) / $25.45 = -28.1% 5% stage 1 growth, 11% discount
Fair Value $24.16 5.1% downside ($24.16 - $25.45) / $25.45 = -5.1% 9% stage 1 growth, 11% discount
Bull Case $29.73 16.8% upside ($29.73 - $25.45) / $25.45 = 16.8% 12% stage 1 growth, 11% discount

Adjust Assumptions

8.9%
11.0%
3.0%

Key Value Driver

FCF growth rate (9% base case)

Terminal Value % of EV 38%
Implied Market Multiple 22.3x

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 $31.00 from 7 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $24.16 per share.

Warnings

Wall Street's average price target is $31.00 (from 7 analysts). Our estimate is 28% 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