NCNO Fair Value
What is the fair value of NCNO?
As of 2025-05-25, the Fair Value of nCino Inc (NCNO) is -1.63 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 26.26 USD, the upside of nCino Inc is -106.2%.
Is NCNO a good investment?
With the market price of 26.26 USD and our fair value calculation, nCino Inc (NCNO) is not a good investment. Investing in NCNO stocks now will result in a potential loss of 106.2%.
Note: valuation result may not be accurate due to the company's negative EPS.
Peter Lynch's formula is:
The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.
| Historical Earnings | ||||||
| 01-2021 | 01-2022 | 01-2023 | 01-2024 | 01-2025 | 5Y Avg | |
| Net income | -40.5 | -49.4 | -102.7 | -42.35 | -37.88 | -55 |
| YoY growth | -46.7% | -22% | -107.9% | 58.8% | 10.6% | -21.5% |
| Market Cap (mil) | 3,058 |
| P/E | - |
| Forward P/E | - |
| EPS | -0.33 |
| Avg earnings growth rate | -21.5% |
| TTM earnings | -38 |
Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.
Therefore, his formula to determine a company's fair value is:
Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG
PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.