The stock of Curaleaf Holdings (OTCPK:CURLF, 30-year Financials) shows every sign of being modestly undervalued, according to GuruFocus Value calculation. GuruFocus Value is GuruFocus’ estimate of the fair value at which the stock should be traded. It is calculated based on the historical multiples that the stock has traded at, the past business growth and analyst estimates of future business performance. If the price of a stock is significantly above the GF Value Line, it is overvalued and its future return is likely to be poor. On the other hand, if it is significantly below the GF Value Line, its future return will likely be higher. At its current price of $15.24 per share and the market cap of $10.5 billion, Curaleaf Holdings stock shows every sign of being modestly undervalued. GF Value for Curaleaf Holdings is shown in the chart below.
Because Curaleaf Holdings is relatively undervalued, the long-term return of its stock is likely to be higher than its business growth, which averaged 166.7% over the past three years and is estimated to grow 112.41% annually over the next three to five years.
Investing in companies with poor financial strength