AS Merko Ehitus Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: MKS (€18.9) is trading below our estimate of fair value (€67.84)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for MKS. This is calculated by dividing MKS's market cap by their current earnings.
What is MKS's PE Ratio?
PE Ratio	5.8x
Earnings	€58.68m
Market Cap	€338.42m

MKS 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	0.6x
Enterprise Value/EBITDA	5.1x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MKS 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	65.2x
B5A0 BAUER	33x	38.2%	€174.3m
NCH2 thyssenkrupp nucera KGaA	187.6x	55.9%	€1.1b
HOT HOCHTIEF	12.3x	2.5%	€8.9b
3SQ1 AHT Syngas Technology	27.9x	n/a	€26.7m
MKS AS Merko Ehitus	5.8x	n/a	€338.4m

Price-To-Earnings vs Peers: MKS is good value based on its Price-To-Earnings Ratio (5.8x) compared to the peer average (65.4x).

Price to Earnings Ratio vs Industry

How does MKS's PE Ratio compare vs other companies in the European Construction Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: MKS is good value based on its Price-To-Earnings Ratio (5.8x) compared to the European Construction industry average (13.1x).

Price to Earnings Ratio vs Fair Ratio

What is MKS'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.

MKS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	5.8x
Fair PE Ratio	n/a

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