Parsons Fair Value
PS
The fair market value of PSN stock is 33.38 USD. Relative to the market price of 112.96 USD Parsons is overvalued by 70.5%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Parsons Valuation
Current PSN share ticker price is 112.96 USD.
The fair value level of 33.38 USD can be considered as an effective entry point for long-term investors to start investing in PSN stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 70% higher its fair value
Current price is 77% higher its minimum value
Current price is 34% higher its maximum value
Market price:
PSN stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Parsons Corp Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
100.41
2
Median P/E over 5 years
44.96
3
Minimum P/E over 5 years
35.71
4
Earning per share (last 12 months)
0.74 USD
Maximum value
1
x
4
=
74.55 USD
Fair value
2
x
4
=
33.38 USD
Minimum value
3
x
4
=
26.52 USD
Parsons Corp price metrics
24.5
Annual return (geometric mean)
32.46
Risk (standard deviation) of returns
β
0.79
Beta (volatility compared to market)