Frontier Lithium Inc.

DB:HL2 Stock Report

Market Cap: €83.4m

Frontier Lithium Valuation

Is HL2 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-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HL2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate HL2's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate HL2's fair value for valuation analysis.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HL2?

Key metric: As HL2 is unprofitable and pre-revenue we use its Price-To-Book Ratio for relative valuation analysis.

The above table shows the Price to Book ratio for HL2. This is calculated by dividing HL2's market cap by their current book value.
What is HL2's PB Ratio?
PB Ratio3.9x
BookCA$31.05m
Market CapCA$122.92m

Price to Book Ratio vs Peers

How does HL2's PB Ratio compare to its peers?

The above table shows the PB ratio for HL2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PBEstimated GrowthMarket Cap
Peer Average27.7x
M0LY Greenland Resources
45.3xn/a€69.4m
W2C IberAmerican Lithium
27.6xn/a€821.3k
PNX Pasinex Resources
35.8xn/a€1.4m
EIS Eisen- und Hüttenwerke
2.1xn/a€202.4m
HL2 Frontier Lithium
3.9x8.6%€122.9m

Price-To-Book vs Peers: HL2 is good value based on its Price-To-Book Ratio (3.9x) compared to the peer average (27.7x).

Price to Book Ratio vs Industry

How does HL2's PB Ratio compare vs other companies in the European Metals and Mining Industry?

23 CompaniesPrice / BookEstimated GrowthMarket Cap
HL2 3.9xIndustry Avg. 0.9xNo. of Companies28PB00.61.21.82.43+
23 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Book vs Industry: HL2 is expensive based on its Price-To-Book Ratio (3.9x) compared to the European Metals and Mining industry average (0.9x).

Price to Book Ratio vs Fair Ratio

What is HL2's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HL2 PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio3.9x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate HL2's Price-To-Book 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?

The above table shows the analyst HL2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.35
€1.94
+461.2%
13.0%€2.41€1.68n/a6
Nov ’25€0.37
€1.93
+426.8%
13.0%€2.40€1.67n/a6
Oct ’25€0.40
€1.93
+382.1%
13.0%€2.40€1.67n/a6
Sep ’25€0.42
€1.95
+361.5%
13.0%€2.43€1.69n/a6
Aug ’25€0.42
€1.95
+369.3%
13.0%€2.43€1.69n/a6
Jul ’25€0.44
€1.95
+347.8%
13.0%€2.43€1.69n/a6
Jun ’25€0.54
€1.95
+262.2%
13.0%€2.43€1.69n/a6
May ’25€0.58
€2.26
+286.5%
22.6%€3.27€1.70n/a6
Apr ’25€0.52
€2.25
+333.0%
22.6%€3.26€1.70n/a6
Mar ’25€0.45
€2.27
+404.9%
29.9%€3.26€1.19n/a6
Feb ’25€0.50
€2.30
+357.4%
29.9%€3.30€1.20n/a6
Jan ’25€0.51
€2.41
+370.6%
20.9%€3.26€1.70n/a6
Dec ’24€0.51
€2.55
+401.8%
15.3%€3.26€2.03n/a6
Nov ’24€0.52
€2.65
+408.9%
13.6%€3.27€2.04€0.376
Oct ’24€0.77
€2.84
+270.9%
8.7%€3.37€2.63€0.406
Sep ’24€0.83
€2.75
+229.9%
9.5%€3.25€2.54€0.425
Aug ’24€1.20
€2.73
+127.8%
9.5%€3.23€2.53€0.425
Jul ’24€1.26
€2.83
+125.7%
10.6%€3.34€2.61€0.444
Jun ’24€1.33
€2.82
+111.7%
10.6%€3.32€2.59€0.544
May ’24€1.31
€2.90
+121.2%
14.1%€3.53€2.52€0.585
Apr ’24€1.34
€3.07
+129.4%
13.6%€3.62€2.59€0.524
Mar ’24€1.91
€3.07
+60.9%
13.6%€3.62€2.59€0.454
Feb ’24€1.79
€2.91
+62.4%
15.1%€3.32€2.25€0.504
Jan ’24€1.41
€2.92
+106.9%
15.1%€3.34€2.26€0.514
Dec ’23€1.45
€3.28
+125.7%
8.1%€3.48€2.90€0.513

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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