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: $56.50 DETAILS
HIGH: $57.00
LOW: $56.00
MEDIAN: $56.50
CONSENSUS: $56.50
UPSIDE: 33.57%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 65% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Strong
Trading 43.1% above fair value
Current Price $42.30
Bear Case $23.64 44.1% downside ($23.64 - $42.30) / $42.30 = -44.1% $1.97 × 12x P/E
Fair Value $29.55 30.1% downside ($29.55 - $42.30) / $42.30 = -30.1% $1.97 × 15x P/E
Bull Case $35.46 16.2% downside ($35.46 - $42.30) / $42.30 = -16.2% $1.97 × 18x P/E

Adjust Assumptions

15.0x
1.97$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 21.5x

Plain-Language Summary

Applying a 15x P/E to adjusted EPS of $1.97, the base-case value is $29.55 per share. DDM cross-check: $17.03.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (8 analysts) $56.50
Analyst Range $56.00 – $57.00
Divergence from AlphaVal 48%

Warnings

Dividend-based valuation: $17.03 (below our primary estimate by 42%). Large gaps may signal the dividend doesn't reflect full earning power.
Wall Street's average price target is $56.50 (from 8 analysts). Our estimate is 48% 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