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AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 65% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Undervalued Strong
Trading 45.2% below fair value
Current Price $8.00
Bear Case $11.67 45.9% upside ($11.67 - $8.00) / $8.00 = 45.9% $0.97 × 12x P/E
Fair Value $14.59 82.3% upside ($14.59 - $8.00) / $8.00 = 82.3% $0.97 × 15x P/E
Bull Case $17.51 118.8% upside ($17.51 - $8.00) / $8.00 = 118.8% $0.97 × 18x P/E

Adjust Assumptions

15.0x
0.97$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 8.2x

Plain-Language Summary

Applying a 15x P/E to adjusted EPS of $0.97, the base-case value is $14.59 per share. DDM cross-check: $11.68.

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