Alcon Inc.

NYSE:ALC Stock Report

Market Cap: US$41.4b

Alcon Valuation

Is ALC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ALC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$111.94
Fair Value
25.2% undervalued intrinsic discount
16
Number of Analysts

Below Fair Value: ALC ($83.71) is trading below our estimate of fair value ($111.94)

Significantly Below Fair Value: ALC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ALC?

Key metric: As ALC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ALC. This is calculated by dividing ALC's market cap by their current earnings.
What is ALC's PE Ratio?
PE Ratio35.7x
EarningsUS$1.16b
Market CapUS$41.41b

Price to Earnings Ratio vs Peers

How does ALC's PE Ratio compare to its peers?

The above table shows the PE ratio for ALC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average36.8x
COO Cooper Companies
46.7x19.8%US$18.3b
ALGN Align Technology
36.4x17.2%US$16.1b
SOLV Solventum
16.5x6.0%US$11.9b
MMSI Merit Medical Systems
47.6x12.7%US$5.7b
ALC Alcon
35.7x10.0%US$37.8b

Price-To-Earnings vs Peers: ALC is good value based on its Price-To-Earnings Ratio (35.7x) compared to the peer average (36.8x).

Price to Earnings Ratio vs Industry

How does ALC's PE Ratio compare vs other companies in the US Medical Equipment Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MHUA Meihua International Medical Technologies
0.9xn/aUS$8.40m
PAVM PAVmed
0.5x-90.0%US$6.80m
UTRS Minerva Surgical
n/an/aUS$8.00
No more companies available in this PE range
ALC 35.7xIndustry Avg. 34.8xNo. of Companies7PE020406080100+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ALC is expensive based on its Price-To-Earnings Ratio (35.7x) compared to the US Medical Equipment industry average (34.8x).

Price to Earnings Ratio vs Fair Ratio

What is ALC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ALC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio35.7x
Fair PE Ratio31.6x

Price-To-Earnings vs Fair Ratio: ALC is expensive based on its Price-To-Earnings Ratio (35.7x) compared to the estimated Fair Price-To-Earnings Ratio (31.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ALC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$83.71
US$98.83
+18.1%
10.4%US$114.45US$72.43n/a16
Jan ’26US$84.89
US$99.03
+16.7%
10.4%US$114.45US$72.43n/a16
Dec ’25US$88.85
US$99.37
+11.8%
10.5%US$114.45US$72.43n/a16
Nov ’25US$91.79
US$101.89
+11.0%
10.2%US$115.56US$72.73n/a15
Oct ’25US$99.12
US$101.75
+2.7%
11.7%US$118.06US$72.73n/a15
Sep ’25US$97.68
US$98.87
+1.2%
10.2%US$117.06US$72.73n/a15
Aug ’25US$93.82
US$95.35
+1.6%
12.0%US$117.06US$68.41n/a15
Jul ’25US$88.07
US$93.69
+6.4%
10.3%US$101.25US$68.41n/a15
Jun ’25US$89.13
US$93.40
+4.8%
10.2%US$101.25US$68.41n/a16
May ’25US$78.53
US$93.02
+18.4%
9.5%US$101.25US$70.47n/a16
Apr ’25US$82.02
US$92.99
+13.4%
10.0%US$101.25US$70.47n/a16
Mar ’25US$86.74
US$90.65
+4.5%
11.4%US$102.30US$66.97n/a16
Feb ’25US$76.39
US$91.52
+19.8%
9.9%US$105.06US$66.97n/a15
Jan ’25US$78.12
US$89.78
+14.9%
11.3%US$105.06US$65.71US$84.8912
Dec ’24US$75.85
US$90.20
+18.9%
9.1%US$103.43US$73.28US$88.8514
Nov ’24US$72.32
US$92.97
+28.6%
8.4%US$103.43US$73.17US$91.7913
Oct ’24US$77.06
US$95.03
+23.3%
6.0%US$103.52US$84.86US$99.1212
Sep ’24US$82.51
US$95.49
+15.7%
6.2%US$103.91US$83.16US$97.6813
Aug ’24US$83.66
US$94.12
+12.5%
7.9%US$103.91US$79.35US$93.8212
Jul ’24US$82.11
US$91.83
+11.8%
6.9%US$99.51US$79.35US$88.0712
Jun ’24US$78.62
US$91.83
+16.8%
6.9%US$99.51US$79.35US$89.1312
May ’24US$72.00
US$87.11
+21.0%
9.1%US$96.43US$69.82US$78.5312
Apr ’24US$70.54
US$86.21
+22.2%
9.3%US$96.43US$69.82US$82.0211
Mar ’24US$67.96
US$84.65
+24.6%
8.9%US$93.74US$67.96US$86.7411
Feb ’24US$76.42
US$83.17
+8.8%
11.2%US$92.29US$63.30US$76.3911
Jan ’24US$68.55
US$81.63
+19.1%
11.2%US$91.18US$63.30US$78.1210
Analyst Price Target
Consensus Narrative from 16 Analysts
US$98.80
Fair Value
15.3% undervalued intrinsic discount
16
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/10 10:11
End of Day Share Price 2025/01/08 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Alcon Inc. is covered by 63 analysts. 23 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Rishabh KocharAlphaValue
null nullArgus Research Company
Jeffrey JohnsonBaird