GDRX(GDRX)
GDRX
Fair Value
OvervaluedPrice $3.65 is 32% above fair value ($2.76)
■ Fair value = 8.5x adjusted EPSAdjusted EPS growth 0.0%/yr
— Price (monthly)— Fair value line (dashed = analyst estimates)Green zone = price under fair value
How these numbers are calculated
Fair value (8.5x) multiplies each year's earnings per share by a growth-based multiple: steady growers (5–15% a year) get 15x, faster growers get their growth rate as the multiple (capped at 30x), and slower growers step down below 15x. GDRX has grown earnings about 0.0% a year, so the line uses 8.5x.
Earnings are adjusted figures on the same basis analysts forecast, built from reported quarters; years beyond the last completed fiscal year use the analyst consensus (dashed). The verdict calls a stock over- or undervalued only when the price sits more than 10% from the fair value line.