As of May 23, 2025, iEnergizer Ltd's estimated intrinsic value ranges from $229.38 to $547.78 per share, depending on the valuation methodology applied.
| Valuation Method | Fair Value (USD) | Implied Upside/Downside |
|---|---|---|
| Discounted Cash Flow (10Y) | $547.78 | +816.0% |
| Discounted Cash Flow (5Y) | $432.29 | +622.9% |
| Dividend Discount Model (Multi-Stage) | $260.46 | +335.5% |
| Dividend Discount Model (Stable) | $229.38 | +283.6% |
| Earnings Power Value | $315.75 | +428.0% |
Is iEnergizer Ltd (IBPO.L) undervalued or overvalued?
With the current market price at $59.80, the stock appears to be significantly undervalued.
Intrinsic value represents the "true" worth of a company based on its fundamentals rather than market sentiment. We've employed multiple methodologies to triangulate iEnergizer Ltd's intrinsic value, including:
The cost of capital is a critical factor in valuation models, representing the required return for investors.
| WACC Component | Low | High |
|---|---|---|
| Long-term bond rate | 4.0% | 4.5% |
| Equity market risk premium | 6.0% | 7.0% |
| Adjusted beta | 1.24 | 1.4 |
| Cost of equity | 11.4% | 14.8% |
| Cost of debt | 4.6% | 8.0% |
| Tax rate | 12.8% | 17.5% |
| Debt/Equity ratio | 1.1 | 1.1 |
| After-tax WACC | 7.5% | 10.5% |
Our DCF model projects cash flows over 5-year and 10-year horizons, with the following key assumptions:
| DCF Model | Fair Value | Enterprise Value | % from Terminal Value |
|---|---|---|---|
| 5-Year Growth | $574 | $1,137M | 69.6% |
| 10-Year Growth | $728 | $1,412M | 50.7% |
| 5-Year EBITDA | $444 | $904M | 61.7% |
| 10-Year EBITDA | $612 | $1,205M | 42.2% |
The DDM values a company based on its expected future dividend payments. We used two approaches:
EPV assesses a company's value based on its current normalized earnings power, assuming no growth.
| EPV Component | Value |
|---|---|
| Normalized Earnings | $75M |
| Discount Rate (WACC) | 10.5% - 7.5% |
| Enterprise Value | $720M - $1,002M |
| Net Debt | $112M |
| Equity Value | $608M - $890M |
| Outstanding Shares | 2M |
| Fair Value | $340 - $498 |
| Selected Fair Value | $315.75 |
| Metric | Value |
|---|---|
| Market Capitalization | $107M |
| Enterprise Value | $191M |
| Trailing P/E | 1.74 |
| Forward P/E | 1.82 |
| Trailing EV/EBITDA | 6.40 |
| Current Dividend Yield | 3707.92% |
| Dividend Growth Rate (5Y) | 20.31% |
| Debt-to-Equity Ratio | 1.10 |
To determine the most reliable intrinsic value estimate, we weigh each valuation method based on:
| Valuation Method | Weight | Weighted Value |
|---|---|---|
| Discounted Cash Flow (10Y) | 30% | $164.33 |
| Discounted Cash Flow (5Y) | 25% | $108.07 |
| Dividend Discount Model (Multi-Stage) | 20% | $52.09 |
| Dividend Discount Model (Stable) | 15% | $34.41 |
| Earnings Power Value | 10% | $31.58 |
| Weighted Average | 100% | $390.48 |
Based on our comprehensive valuation analysis, iEnergizer Ltd's weighted average intrinsic value is $390.48, which is approximately 553.0% above the current market price of $59.80.
Key investment considerations:
Given these factors, we believe iEnergizer Ltd is currently significantly undervalued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.