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ALK-Abelló (CPSE:ALK B) has been under pressure recently, with the share price showing a 1 day return of around a 1.1% decline and a past month move of about a 7.5% decline.
Over the past 3 months, the stock has recorded roughly a 7.9% decline, while the year to date return sits near a 6.4% decline, setting the backdrop for assessing its current valuation and fundamentals.
See our latest analysis for ALK-Abelló.
While the recent 1 month share price return shows a 7.5% decline and the latest close is DKK212.0, the 1 year total shareholder return of 36.8% and 3 year total shareholder return of 91.3% point to momentum that has built up over a longer period as sentiment around its allergy treatments and growth prospects has shifted over time.
If this recent pullback has you reviewing your options in healthcare, it could be a good moment to see which other names stand out in our list of 107 healthcare AI stocks.
With ALK-Abelló now at DKK212.0, annual revenue of DKK6,078.0m and net income of DKK1,101.0m, the key question is simple: are you looking at an undervalued allergy specialist, or has the market already priced in future growth?
With ALK-Abelló last trading at DKK212.0 against a widely followed fair value estimate of DKK249, the current setup hinges on how credible the growth and margin story looks under a 5.24% discount rate.
Analysts have lifted their fair value estimate for ALK-Abelló from DKK 214 to DKK 249, citing updated assumptions around discount rates, revenue growth, profit margins and future P/E levels.
Fair Value Estimate raised from DKK 214 to DKK 249. Read the complete narrative.
Curious what kind of revenue lift and margin profile are baked into that higher DKK249 line, and what future earnings multiple underpins it? The full narrative connects those assumptions in a way the share price alone does not spell out.
Result: Fair Value of DKK249 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, this hinges on expectations for products like EURneffy and new paediatric indications, and slower uptake or tougher market access could quickly challenge that undervaluation story.
Find out about the key risks to this ALK-Abelló narrative.
The fair value narrative at DKK249 paints ALK-Abelló as 14.9% undervalued, but the current P/E of 42.6x is well above the European pharmaceuticals average of 26.4x, the peer average of 10.9x, and even its own fair ratio of 16.6x. That gap points to meaningful valuation risk if sentiment cools.
