Makita Valuation

Is MK2 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 MK2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MK2 (€29.4) is trading below our estimate of fair value (€29.77)

Significantly Below Fair Value: MK2 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MK2?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for MK2. This is calculated by dividing MK2's market cap by their current preferred multiple.
What is MK2's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	n/a

MK2 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	1.5x
Enterprise Value/EBITDA	9.5x
PEG Ratio	3x

Price to Earnings Ratio vs Peers

How does MK2's PE Ratio compare to its peers?

The above table shows the PE ratio for MK2 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	24x
G1A GEA Group	18.4x	7.3%	€7.5b
RAA RATIONAL	42.8x	7.5%	€10.1b
GIL DMG MORI	19.8x	n/a	€3.5b
KRN Krones	15x	15.7%	€3.7b
MK2 Makita	21.2x	7.2%	€1.3t

Price-To-Earnings vs Peers: MK2 is good value based on its Price-To-Earnings Ratio (21.2x) compared to the peer average (24x).

Price to Earnings Ratio vs Industry

How does MK2's PE Ratio compare vs other companies in the DE Machinery Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	10.7%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	10.7%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: MK2 is expensive based on its Price-To-Earnings Ratio (21.2x) compared to the German Machinery industry average (14.7x).

Price to Earnings Ratio vs Fair Ratio

What is MK2'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.

MK2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	21.2x
Fair PE Ratio	15.8x

Price-To-Earnings vs Fair Ratio: MK2 is expensive based on its Price-To-Earnings Ratio (21.2x) compared to the estimated Fair Price-To-Earnings Ratio (15.8x).

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.