Al-Arafah Islami Bank PLC.

DSE:ALARABANK Stock Report

Market Cap: ৳22.5b

Al-Arafah Islami Bank Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • 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 ALARABANK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ALARABANK (BDT19.5) is trading above our estimate of fair value (BDT8.96)

Significantly Below Fair Value: ALARABANK is trading above our estimate of fair value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ALARABANK. This is calculated by dividing ALARABANK's market cap by their current earnings.
What is ALARABANK's PE Ratio?
PE Ratio13x
Earnings৳1.72b
Market Cap৳22.46b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ALARABANK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.7x
MIDLANDBNK Midland Bank
20.5xn/a৳22.7b
SHAHJABANK Shahjalal Islami Bank
5.1xn/a৳20.0b
PRIMEBANK Prime Bank
4.2xn/a৳26.4b
TRUSTBANK Trust Bank
4.9xn/a৳21.2b
ALARABANK Al-Arafah Islami Bank
13xn/a৳22.5b

Price-To-Earnings vs Peers: ALARABANK is expensive based on its Price-To-Earnings Ratio (13x) compared to the peer average (8.7x).

Price to Earnings Ratio vs Industry

How does ALARABANK's PE Ratio compare vs other companies in the BD Banks Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
ALARABANK 13.0xIndustry Avg. 5.5xNo. of Companies11PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ALARABANK is expensive based on its Price-To-Earnings Ratio (13x) compared to the BD Banks industry average (5.5x).

Price to Earnings Ratio vs Fair Ratio

What is ALARABANK'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.

ALARABANK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ALARABANK'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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