Tenon is undertaking a strategic business review to identify a path to increase shareholder value. Our analysis suggests a very positive outlook for its core US markets; the company is set to deliver faster earnings growth and this is clearly visible in FY16 trading to date. Tenon currently stands on mid- to low single-digit prospective valuation multiples. Peer group comparisons suggest a valuation range in excess of NZ$4.51 based on calendarised 2015 multiples, and higher still on estimates beyond this.