Is DTF Stock Undervalued?
A comprehensive valuation analysis of Dtf Tax-Free Income 2028 Term Fund Inc (DTF) examining current multiples, intrinsic value, and comparing to analyst expectations.
Valuation Verdict
Potentially Undervalued
251004552.1% upside potential
Based on our analysis, Dtf Tax-Free Income 2028 Term Fund Inc appears to be potentially undervalued at the current price of $11.45. Our fair value estimate of $28739781.66 suggests upside potential of approximately 251004552.1%.
Current Valuation Metrics
Valuation ratios help us understand how the market is pricing DTF relative to its fundamentals. Let's examine the key multiples investors are paying today.
Understanding the Metrics
- P/E Ratio: At 34.70x earnings, DTF is trading above the typical market average of 15-20x.
- P/B Ratio: A P/B of 0.94 means investors pay $0.94 for every $1 of book value.
- P/S Ratio: The price-to-sales ratio of 29.17 indicates how much investors value each dollar of revenue.
- EV/EBITDA: EBITDA data not available.
Fair Value Estimate
Using a discounted cash flow (DCF) model, we estimate the intrinsic value of Dtf Tax-Free Income 2028 Term Fund Inc stock. This fundamental analysis looks at the company's ability to generate future cash flows and discounts them back to today's value.
Our DCF model suggests DTF may be undervalued by approximately 251004552.1%. This implies the market may be pricing in more pessimistic growth expectations than our base case scenario.
Investment Conclusion
Bottom Line
Based on our comprehensive valuation analysis, Dtf Tax-Free Income 2028 Term Fund Inc (DTF) appears to be undervalued at $11.45. With a fair value estimate of $28739781.66, the stock offers potential upside for long-term investors willing to wait for the market to recognize its intrinsic value.
Disclaimer: This analysis is for informational purposes only and should not be considered investment advice. Always conduct your own research and consult with a financial advisor before making investment decisions. Past performance does not guarantee future results.
More Analysis for DTF
Compare with Peers
See how Dtf Tax-Free Income 2028 Term Fund Inc stacks up against similar companies
Popular Valuation Analysis
Explore valuation analysis for top stocks
Related: DTF Dividend, DTF Growth, DTF Financial Health
Compare: DTF vs AAPL, DTF vs MSFT, DTF vs GOOGL