Premier Cement Mills PLC

DSE:PREMIERCEM Stock Report

Market Cap: ৳5.5b

Premier Cement Mills Valuation

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

Below Fair Value: PREMIERCEM (BDT52) is trading above our estimate of fair value (BDT12.32)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for PREMIERCEM. This is calculated by dividing PREMIERCEM's market cap by their current earnings.
What is PREMIERCEM's PE Ratio?
PE Ratio7.8x
Earnings৳699.53m
Market Cap৳5.48b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PREMIERCEM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.9x
CROWNCEMNT Crown Cement
6.1xn/a৳7.2b
CONFIDCEM Confidence Cement
7.1xn/a৳5.3b
HEIDELBCEM Heidelberg Materials Bangladesh
34.7xn/a৳12.7b
LHB LafargeHolcim Bangladesh
15.6xn/a৳62.8b
PREMIERCEM Premier Cement Mills
7.8xn/a৳5.5b

Price-To-Earnings vs Peers: PREMIERCEM is good value based on its Price-To-Earnings Ratio (7.8x) compared to the peer average (15.9x).


Price to Earnings Ratio vs Industry

How does PREMIERCEM's PE Ratio compare vs other companies in the Asian Basic Materials Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
PREMIERCEM 7.8xIndustry Avg. 17.7xNo. of Companies39PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PREMIERCEM is good value based on its Price-To-Earnings Ratio (7.8x) compared to the Asian Basic Materials industry average (17.5x).


Price to Earnings Ratio vs Fair Ratio

What is PREMIERCEM'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.

PREMIERCEM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.8x
Fair PE Ration/a

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