Chart, page-928

In laymens term, @wiseblood, what Cadmon's analyst is saying is this:

"We believe that, given the base case assumptions we have presented, that the current fair value of Fluence as of September, 2017 is $1.70, given all current publicly known and available information."

However, any analysts report and valuation prediction is always changed by new announcements, as and when they are released. So presumably, each time Fluence releases material news which changes the fundamentals of the company, Cadmon would revise their valuation and current fair value target price, either higher or lower.

So of course, Fluence's share price could be well above or well below this target price in a few years time, dependent upon what new information is provided to the market in the future.

Put another way: right now, given all the information in the market, Cadmon values Fluence's at $1.70 per share (under their base case assumptions). Each and every time, though, a material announcement is released, this target price will change to the up-side or down-side. For example; Fluence could come out tomorrow and say that it's signed a USD $100M contract with another African Nation. This information was not included in Cadmon's original valuation, and would directly impact the company's revenue growth rates for 2017, 2018 and 2019. In turn, Cadmon's current fair value target price would be higher.

Of course, this doesn't account for hype and market psychology / behaviour / sentiment. Let's assume no new information on Fluence's progress is released, and let's also assume Fluence became a market darling and went on a run, like that seen in GSW, UPD or BIG, above $1.70. At any price above Cadmon's target price, we would consider the company as over-valued given its current fundamentals. But tomorrow, Fluence may release news, Cadmon may upgrade its fair value and then Fluence becomes under-valued again.

All Cadmon is saying @wiseblood, is that the fundamentals of Fluence are currently valued at $1.70. If those fundamentals improve, then sure, the share price could rise above $1.70 as the target price is upgraded higher. But the share price could run above $1.70, even without the valuation upgrades, purely on sentiment. So, answering your question: yes, Fluence could reach a share price higher than its current fair value of $1.70 in the future ....