MH - McGraw Hill, Inc.
Price:
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CONSENSUS:
Buy
DETAILS
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PRICE TARGET:
$16.14
DETAILS
HIGH:
$17.00
LOW:
$14.00
MEDIAN:
$16.00
CONSENSUS:
$16.14
UPSIDE:
17.90%
AlphaVal
Deterministic, archetype-aware fair value
Stable Earnings Power
80% confidence
Primary model: P/Adj-EPS × Normalized Multiple
Adjust Assumptions
17.0x
0.19$
Key Value Driver
Normalized P/E multiple (17x base case)
Implied Market Multiple
72.1x
Plain-Language Summary
Applying a 17x P/E to adjusted EPS of $0.19, the base-case value is $3.23 per share.
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.
Average Target (9 analysts)
$16.14
Analyst Range
$14.00 – $17.00
Divergence from AlphaVal
80%
Warnings
Wall Street's average price target is $16.14 (from 9 analysts). Our estimate is 80% 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