Golden Agri-Resources Valuation

Is 4G3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • 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 4G3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 4G3 (€18.8) is trading below our estimate of fair value (€85.09)

Significantly Below Fair Value: 4G3 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 4G3?

Key metric: As 4G3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 4G3. This is calculated by dividing 4G3's market cap by their current earnings.
What is 4G3's PE Ratio?
PE Ratio15.4x
EarningsUS$167.60m
Market CapUS$2.58b

Price to Earnings Ratio vs Peers

How does 4G3's PE Ratio compare to its peers?

The above table shows the PE ratio for 4G3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.4x
KWS KWS SAAT SE KGaA
9.9x1.2%€2.0b
SZU Südzucker
6.7x-10.2%€2.2b
SSH Südwestdeutsche Salzwerke
14.2xn/a€567.4m
GTK Tonkens Agrar
6.9xn/a€12.2m
4G3 Golden Agri-Resources
15.4x27.8%€3.5b

Price-To-Earnings vs Peers: 4G3 is expensive based on its Price-To-Earnings Ratio (15.4x) compared to the peer average (9.4x).


Price to Earnings Ratio vs Industry

How does 4G3's PE Ratio compare vs other companies in the European Food Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
4G3 15.4xIndustry Avg. 13.5xNo. of Companies20PE01020304050+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 4G3 is expensive based on its Price-To-Earnings Ratio (15.4x) compared to the European Food industry average (13.6x).


Price to Earnings Ratio vs Fair Ratio

What is 4G3'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.

4G3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.4x
Fair PE Ratio27.5x

Price-To-Earnings vs Fair Ratio: 4G3 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the estimated Fair Price-To-Earnings Ratio (27.5x).


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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