Bombardier Inc
TSX:BBD.B
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Intrinsic Value
The intrinsic value of 
Bombardier Inc (BBD.B) under the Base Case is 86.87 CAD per share.
Compared with the current market price of 333.53 CAD, the stock appears
Overvalued by 74% .
The intrinsic value is calculated using the DCF method. The model mostly extends the recent record: revenue grows about 6% a year over the next five years, against 8% over the last five, and operating margin stays near last year's 12%. If operating margin stayed at its five-year average of 8.8%, the estimate would be about CA$29.
Do our valuations actually work? See backtest results .
Cheap or expensive for this stock?
This block shows whether today’s valuation is cheap or expensive compared with the stock’s own history, and what happened after similar valuations in the past.
We compare the gap between the stock’s price and our estimated value over time.
- Undervalued can still be historically expensive. The stock may trade below our estimated value, but usually offer an even bigger discount.
- Overvalued can still be historically cheap. The stock may trade above our estimated value, but usually carry an even higher premium.
Market expectations can differ from our model, which may not fully capture everything affecting the price. That is why some stocks regularly trade above our estimated value and others below it.
The scale and chart show how today’s valuation compares with the past. The cards summarize past returns and waiting times until the stock stopped being cheap or expensive. This can happen because the price changed, our estimated value changed, or both.
Only completed periods are included. These are past results, not forecasts. The usual historical range does not necessarily mean fair value.
Fundamental Analysis
What Bombardier Does
Bombardier makes business jets. It designs, builds, and sells large private aircraft such as the Challenger and Global families, which are used by companies, wealthy individuals, governments, and charter operators that need fast point-to-point travel. The company also sells parts, maintenance, upgrades, and other support services for the aircraft it has delivered.
- Headquarters
- Canada CA
- Employees
- 18 000
- IPO date
- Feb 11, 1981
Bombardier has no economic moat
Business-jet buyers can choose comparable aircraft from Gulfstream, Dassault, Textron and Embraer, so Bombardier’s position does not keep these rivals out. Its name and product range do not by themselves show that customers must stay or that rivals cannot compete on cost.
Read the full moat analysis
Revenue & Expenses Breakdown
Bombardier Inc
Earnings Waterfall
Bombardier Inc
What is the Intrinsic Value of one BBD.B stock?
The intrinsic value for Bombardier Inc (BBD.B) under the Base Case is 86.87 CAD.
Is BBD.B stock undervalued or overvalued?
Compared with the current market price of 333.53 CAD, the stock appears Overvalued by 74% .
