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For Indivior, you really have to believe in the durability of its addiction-treatment franchise and the company’s ability to translate that into consistent cash generation, even as it carries a high level of debt and negative equity. The recent redomiciling to a Delaware parent and the sizeable new US$569.10 million ESOP shelf look more like plumbing than a new growth engine, but they do matter for near term catalysts: cleaner U.S.-centric reporting, simplified lending arrangements and a larger pool for equity incentives could help management execution and employee alignment at a time when earnings have just turned positive and guidance is under close watch. The flip side is that increased equity availability may heighten dilution concerns for existing shareholders if the ESOP is heavily utilized.
Indivior's shares have been on the rise but are still potentially undervalued. Find out how large the opportunity might be.Four Simply Wall St Community fair value views span roughly US$32 to just over US$104, underlining how far apart individual models can be. Set against that spread, Indivior’s recent U.S. redomiciling and expanded ESOP shelf bring governance, debt load and potential dilution into sharper focus for anyone weighing its long term earnings story.
Explore 4 other fair value estimates on Indivior - why the stock might be worth over 3x more than the current price!
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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