409A VALUATION US Equity Intelligence Report: Premium Institutional Research

Prepared by Dr. Sofia Chen, FRM, Head of Quantitative Research | Reviewed by David Miller, Lead Editor | Report ID: IGEMINI-7CDE0211-20260531 | Data as of 2026-05-31

Executive Summary: Our multi-factor model assigns 409a valuation a Bullish outlook for the next quarter. Key drivers include a P/E of 40.75x, 45.4% revenue expansion, and an RSI of 42 suggesting a neutral-bullish phase. We define critical support at $2398.5 and resistance at $2931.5.

Rating: Overweight | Target Price: $2931.5 | Next Earnings: Jun 23

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Technical Assessment

Price action carved a Bull Flag, confirmed by a 1.13x volume spike on May 27, 2026. The resistance at $2398.5 was tested.

On-chain money flow shows 30%% increase in smart money index, reinforcing the technical setup.

Ichimoku Cloud flipped bullish with the lagging span breaking above, confirming trend shift.

Fundamental Assessment

Free cash flow conversion remains robust at 81%, supporting the 1.01% dividend and buybacks.

EPS of $65.4 reveals above-sector earnings quality. DuPont analysis highlights margin expansion as the key ROE driver.

With a market cap of $3.27B, 409a valuation operates in Finance. P/E of 40.75x is backed by 45.4% growth.

Sentiment & Flow Assessment

Short float at 1.1% is below the sector average, reducing squeeze risk. Institutional ownership is 66%.

Options skew is toward put at the 2425.15 strike, positioning for a directional move.

Beta of 0.59 suggests 409a valuation is {beta_desc} volatile than the market, influencing hedging strategies.

Data Snapshot

MetricValueSector Avg
Last Price$2665$2531.75
Market Cap$3.27B$3.92B
P/E Ratio40.75x34.6x
EPS (TTM)$65.4$58.86
Dividend Yield1.01%0.7%
Revenue Growth45.4%27.2%
Target Price$2931.5-
Beta0.591.00

Conclusion & Rating

Based on converging technical and fundamental signals, we rate 409a valuation as **Overweight** with a 7-month target of $2931.5. A stop-loss at $2451.8 is advised. The next earnings report on Jun 23 could serve as a catalyst.

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