Arcadium Lithium Valuation

Is 7WO0 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 7WO0 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7WO0 (€4.94) is trading below our estimate of fair value (€39.62)

Significantly Below Fair Value: 7WO0 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7WO0?

Other financial metrics that can be useful for relative valuation.

7WO0 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/Revenue7.7x
Enterprise Value/EBITDA22.2x
PEG Ratio1.2x

Price to Earnings Ratio vs Peers

How does 7WO0's PE Ratio compare to its peers?

The above table shows the PE ratio for 7WO0 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.2x
WCH Wacker Chemie
31.6x37.8%€3.9b
SY1 Symrise
39.1x13.1%€15.3b
ACT AlzChem Group
12x13.1%€555.6m
UZU Uzin Utz
10.2x3.5%€245.2m
7WO0 Arcadium Lithium
25.9x21.5%€5.8b

Price-To-Earnings vs Peers: 7WO0 is expensive based on its Price-To-Earnings Ratio (25.9x) compared to the peer average (23.2x).


Price to Earnings Ratio vs Industry

How does 7WO0's PE Ratio compare vs other companies in the European Chemicals Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a37.6%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a37.6%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 7WO0 is expensive based on its Price-To-Earnings Ratio (25.9x) compared to the European Chemicals industry average (17.7x).


Price to Earnings Ratio vs Fair Ratio

What is 7WO0'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.

7WO0 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio25.9x
Fair PE Ratio29.7x

Price-To-Earnings vs Fair Ratio: 7WO0 is good value based on its Price-To-Earnings Ratio (25.9x) compared to the estimated Fair Price-To-Earnings Ratio (29.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 7WO0 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€4.94
€5.62
+13.8%
21.0%€8.34€3.71n/a19
Oct ’25€2.53
€4.58
+81.1%
42.2%€8.98€2.60n/a21
Sep ’25€2.43
€4.72
+94.2%
39.9%€8.97€2.69n/a21
Aug ’25€2.82
€6.16
+118.3%
39.7%€12.93€3.46n/a20
Jul ’25€3.11
€6.92
+122.8%
37.5%€13.08€3.50n/a20
Jun ’25€4.04
€7.40
+83.1%
31.6%€12.96€4.63n/a18
May ’25€4.04
€7.57
+87.5%
29.3%€12.90€4.61n/a19
Apr ’25€4.14
€7.60
+83.6%
29.9%€12.86€4.59n/a19
Mar ’25€5.11
€8.08
+58.1%
29.0%€12.90€4.61n/a18
Feb ’25€4.36
€8.68
+99.2%
25.6%€12.91€5.53n/a18
Jan ’25n/a
€9.50
0%
28.3%€14.22€5.61n/a18
Dec ’24n/a
€9.57
0%
28.8%€14.39€5.68n/a18
Nov ’24n/a
€11.14
0%
24.9%€17.70€7.28€4.9718
Oct ’24n/a
€12.52
0%
15.4%€17.24€9.58€2.5318
Sep ’24n/a
€12.52
0%
15.4%€17.24€9.58€2.4318
Aug ’24n/a
€12.42
0%
15.8%€16.91€9.39€2.8218
Jul ’24n/a
€12.52
0%
16.0%€17.15€9.53€3.1118
Jun ’24n/a
€12.69
0%
16.6%€17.50€9.72€4.0417
May ’24n/a
€12.30
0%
17.6%€17.07€8.73€4.0416
Apr ’24n/a
€12.86
0%
17.7%€17.68€9.04€4.1416
Mar ’24n/a
€12.75
0%
17.7%€17.68€9.04€5.1117
Feb ’24n/a
€12.61
0%
16.6%€17.21€8.42€4.3617
Jan ’24n/a
€13.22
0%
14.3%€17.64€10.59n/a16
Dec ’23n/a
€13.73
0%
14.2%€18.06€10.83n/a16
Nov ’23n/a
€13.95
0%
16.0%€18.55€11.13n/a16

Analyst Forecast: Target price is less than 20% higher than the current share price.


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