Douglas Dynamics, Inc. logo PLOW - Douglas Dynamics, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 4
HOLD 3
SELL 1
STRONG
SELL
0
| PRICE TARGET: $50.67 DETAILS
HIGH: $56.00
LOW: $48.00
MEDIAN: $48.00
CONSENSUS: $50.67
UPSIDE: 10.88%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 65% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Moderate
Trading 19.1% above fair value
Current Price $45.70
Bear Case $30.70 32.8% downside ($30.70 - $45.70) / $45.70 = -32.8% $2.35 × 12x P/E
Fair Value $38.37 16.0% downside ($38.37 - $45.70) / $45.70 = -16.0% $2.35 × 15x P/E
Bull Case $46.05 0.8% upside ($46.05 - $45.70) / $45.70 = 0.8% $2.35 × 18x P/E

Adjust Assumptions

15.0x
2.35$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 19.4x

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 $50.67 from 8 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $38.37 per share.

Warnings

Dividend-based valuation: $17.03 (below our primary estimate by 52%). Large gaps may signal the dividend doesn't reflect full earning power.
Wall Street's average price target is $50.67 (from 8 analysts). Our estimate is 30% 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