Nasdaq, Inc. logo NDAQ - Nasdaq, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 22
HOLD 13
SELL 1
STRONG
SELL
0
| PRICE TARGET: $112.00 DETAILS
HIGH: $113.00
LOW: $110.00
MEDIAN: $112.50
CONSENSUS: $112.00
UPSIDE: 22.59%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Banks, Insurers & Asset Managers 80% confidence

Primary model: P/Tangible Book × ROE Quality

Valuation Signal Overvalued Strong
Trading 48.8% above fair value
Current Price $91.36
Bear Case $40.29 55.9% downside ($40.29 - $91.36) / $91.36 = -55.9% ROTCE 11.0% → 1.21x TBV
Fair Value $61.42 32.8% downside ($61.42 - $91.36) / $91.36 = -32.8% ROTCE 14.6% → 1.84x TBV
Bull Case $74.11 18.9% downside ($74.11 - $91.36) / $91.36 = -18.9% ROTCE 16.8% → 2.22x TBV

Adjust Assumptions

14.6%
9.8%

Key Value Driver

ROTCE (14.6%) vs. cost of equity (9.8%)

Implied Market Multiple 4.23x

Plain-Language Summary

Our base-case estimate uses P/Tangible Book × ROE Quality. We then blend that result with the average analyst price target of $112.00 from 36 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $61.42 per share.

Warnings

Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.
Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.
Wall Street's average price target is $112.00 (from 36 analysts). Our estimate is 65% below the consensus -- consider that gap carefully.

Key Risks

  • Book value quality matters as much as level — check loan loss reserves
  • Interest rate sensitivity creates non-linear earnings surprises
  • Insurance reserving is actuarial, not financial — errors emerge slowly