MWA - Mueller Water Products, Inc.
Price:
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CONSENSUS:
Hold
DETAILS
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PRICE TARGET:
$30.80
DETAILS
HIGH:
$35.00
LOW:
$25.00
MEDIAN:
$32.00
CONSENSUS:
$30.80
UPSIDE:
24.52%
AlphaVal
Deterministic, archetype-aware fair value
Platform & Compounding FCF
50% confidence
Primary model: Two-stage FCF DCF
Adjust Assumptions
6.6%
11.0%
3.0%
Key Value Driver
FCF growth rate (7% base case)
Terminal Value % of EV
36%
Implied Market Multiple
23.7x
Market is pricing in (growth)
11.3%
vs our 6.6% base
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 $30.80 from 21 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $20.73 per share.
Warnings
Wall Street's average price target is $30.80 (from 21 analysts). Our estimate is 44% 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