Sandvik Valuation
Is SVK undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation 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 SVK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SVK (€17.2) is trading below our estimate of fair value (€30.73)
Significantly Below Fair Value: SVK is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SVK?
Key metric: As SVK is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is SVK's PE Ratio? | |
|---|---|
| PE Ratio | 20.8x |
| Earnings | SEK 12.21b |
| Market Cap | SEK 253.76b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.5x |
| Enterprise Value/EBITDA | 12.1x |
| PEG Ratio | 1.4x |
Price to Earnings Ratio vs Peers
How does SVK's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 24.5x | ||
RAA RATIONAL | 42.4x | 6.9% | €10.0b |
G1A GEA Group | 18.9x | 8.3% | €7.7b |
KRN Krones | 14.6x | 16.2% | €3.6b |
GIL DMG MORI | 22x | n/a | €3.5b |
SVK Sandvik | 20.8x | 15.0% | €253.8b |
Price-To-Earnings vs Peers: SVK is good value based on its Price-To-Earnings Ratio (20.8x) compared to the peer average (24.5x).
Price to Earnings Ratio vs Industry
How does SVK's PE Ratio compare vs other companies in the DE Machinery Industry?
| 0 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|
| 0 Companies | Estimated Growth | Market Cap |
|---|
Price-To-Earnings vs Industry: SVK is expensive based on its Price-To-Earnings Ratio (20.8x) compared to the German Machinery industry average (14.3x).
Price to Earnings Ratio vs Fair Ratio
What is SVK'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 20.8x |
| Fair PE Ratio | 21.6x |
Price-To-Earnings vs Fair Ratio: SVK is good value based on its Price-To-Earnings Ratio (20.8x) compared to the estimated Fair Price-To-Earnings Ratio (21.6x).
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.
Discover undervalued companies
Andritz
€5.1b
Provides plants, equipment, and services for pulp and paper industry, metalworking and steel industries, hydropower stations, and solid/liquid separation in the municipal and industrial sectors in Europe, North America, South America, China, Asia, and internationally.
AZ2
€51.05
7D
-1.7%
1Y
5.3%
DAIHEN
JP¥168.4b
Manufactures and sells transformers, welding machines, and industrial and clean transport robots.
6NV
JP¥42.20
7D
1.9%
1Y
26.3%
Alfa. de
Mex$82.4b
Engages in the petrochemical and synthetic fiber and refrigerated food businesses in Mexico.
G4L
Mex$0.65
7D
-3.0%
1Y
10.2%