Valeant Drug-Price Travails Put Stock at $72 to Damodaran
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Shares of Valeant Pharmaceuticals International Inc. are approaching fair value after plummeting as much as 72 percent in the past three months, according to Aswath Damodaran, a finance professor at New York University.
Damodaran, the author of four books on company valuation, estimated in a blog posting Wednesday that Valeant is worth $72.10 a share. That’s 8.6 percent lower than its latest closing price, as shown in the chart below. Valeant fell as low as $73.32 last week after peaking at $263.81 on Aug. 6.