Stagwell Inc. logo STGW - Stagwell Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 5
HOLD 3
SELL 0
STRONG
SELL
0
| PRICE TARGET: $8.00 DETAILS
HIGH: $8.00
LOW: $8.00
MEDIAN: $8.00
CONSENSUS: $8.00
UPSIDE: 22.89%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 85% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Undervalued Strong
Trading 66.5% below fair value
Current Price $6.51
Bear Case $9.98 53.3% upside ($9.98 - $6.51) / $6.51 = 53.3% 10% stage 1 growth, 11% discount
Fair Value $19.45 198.7% upside ($19.45 - $6.51) / $6.51 = 198.7% 16% stage 1 growth, 11% discount
Bull Case $30.27 365.0% upside ($30.27 - $6.51) / $6.51 = 365.0% 21% stage 1 growth, 11% discount

Adjust Assumptions

16.1%
11.0%
3.0%

Key Value Driver

FCF growth rate (16% base case)

Terminal Value % of EV 44%
Implied Market Multiple 15.1x

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 $8.00 from 8 analysts, using a 20% weight on analyst consensus. That produces an estimated intrinsic value of $19.45 per share.

Warnings

Stock-based employee pay equals 186% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $8.00 (from 8 analysts). Our estimate is 179% above 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