Sagalio Energy Valuation

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

SAN (A$0.02) is trading below our estimate of [[fair value]] (A$0.06)

Is SAN 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-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: SAN (A$0.02) is trading below our estimate of fair value (A$0.06)

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

Key Valuation Metric

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

Key metric: As SAN is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SAN. This is calculated by dividing SAN's market cap by their current revenue.
What is SAN's PS Ratio?
PS Ratio	7.4x
Sales	US$309.00k
Market Cap	US$2.26m

SAN 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	6.2x
Enterprise Value/EBITDA	-6.2x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does SAN's PS Ratio compare to its peers?

The above table shows the PS ratio for SAN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	2.3x
HCD Hydrocarbon Dynamics	5.2x	n/a	AU$2.8m
AOK Australian Oil	0.3x	n/a	AU$2.8m
XST Xstate Resources	0.7x	n/a	AU$2.9m
MEL Metgasco	3.1x	n/a	AU$7.3m
SAN Sagalio Energy	7.4x	n/a	AU$3.3m

Price-To-Sales vs Peers: SAN is expensive based on its Price-To-Sales Ratio (7.4x) compared to the peer average (5.4x).

Price to Sales Ratio vs Industry

How does SAN's PS Ratio compare vs other companies in the AU Oil and Gas Industry?

36 Companies	Price / Sales	Estimated Growth	Market Cap
WDS Woodside Energy Group	2.5x	1.5%	US$30.93b
STO Santos	2.6x	8.2%	US$14.58b
YAL Yancoal Australia	1.3x	0.4%	US$5.70b
ALD Ampol	0.2x	-1.6%	US$4.50b

36 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: SAN is expensive based on its Price-To-Sales Ratio (7.4x) compared to the Australian Oil and Gas industry average (7x).

Price to Sales Ratio vs Fair Ratio

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

SAN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	7.4x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate SAN's Price-To-Sales 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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