SKS Technologies Group Valuation

Is SKS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SKS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SKS (A$1.97) is trading below our estimate of fair value (A$3.88)

Significantly Below Fair Value: SKS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SKS?

Key metric: As SKS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SKS. This is calculated by dividing SKS's market cap by their current earnings.
What is SKS's PE Ratio?
PE Ratio	33.3x
Earnings	AU$6.62m
Market Cap	AU$220.78m

SKS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.7x
Enterprise Value/EBITDA	28.8x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does SKS's PE Ratio compare to its peers?

The above table shows the PE ratio for SKS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	20.3x
ECL Excelsior Capital	2.1x	n/a	AU$92.5m
FOS FOS Capital	31.5x	n/a	AU$19.9m
RFT Rectifier Technologies	22.2x	n/a	AU$16.6m
XRF XRF Scientific	25.6x	11.8%	AU$227.4m
SKS SKS Technologies Group	33.3x	n/a	AU$220.8m

Price-To-Earnings vs Peers: SKS is expensive based on its Price-To-Earnings Ratio (33.3x) compared to the peer average (20.3x).

Price to Earnings Ratio vs Industry

How does SKS's PE Ratio compare vs other companies in the Global Electrical Industry?

36 Companies	Price / Earnings	Estimated Growth	Market Cap

36 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: SKS is expensive based on its Price-To-Earnings Ratio (33.3x) compared to the Global Electrical industry average (26.6x).

Price to Earnings Ratio vs Fair Ratio

What is SKS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SKS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	33.3x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SKS's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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