Semen Indonesia (Persero) Valuation

Q: What is the Fair Price of SMS2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

SMS2 (€0.21) is trading below our estimate of [[fair value]] (€0.35)

Is SMS2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation 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 SMS2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SMS2 (€0.21) is trading below our estimate of fair value (€0.35)

Significantly Below Fair Value: SMS2 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SMS2?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for SMS2. This is calculated by dividing SMS2's market cap by their current preferred multiple.
What is SMS2's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	Rp27.01t

SMS2 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	1.1x
Enterprise Value/EBITDA	6.3x
PEG Ratio	0.9x

Price to Earnings Ratio vs Peers

How does SMS2's PE Ratio compare to its peers?

The above table shows the PE ratio for SMS2 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	16.3x
STO3 Sto SE KGaA	8.9x	-4.2%	€764.7m
HEI Heidelberg Materials	9x	6.6%	€16.6b
NDA Aurubis	7.8x	2.8%	€2.9b
SZG Salzgitter	39.8x	64.6%	€830.8m
SMS2 Semen Indonesia (Persero)	15x	16.9%	€27.0t

Price-To-Earnings vs Peers: SMS2 is good value based on its Price-To-Earnings Ratio (15x) compared to the peer average (16.3x).

Price to Earnings Ratio vs Industry

How does SMS2's PE Ratio compare vs other companies in the European Basic Materials Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	10.8%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	10.8%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: SMS2 is expensive based on its Price-To-Earnings Ratio (15x) compared to the European Basic Materials industry average (11x).

Price to Earnings Ratio vs Fair Ratio

What is SMS2'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.

SMS2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15x
Fair PE Ratio	20.8x

Price-To-Earnings vs Fair Ratio: SMS2 is good value based on its Price-To-Earnings Ratio (15x) compared to the estimated Fair Price-To-Earnings Ratio (20.8x).

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 SMS2 forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	€0.21	€0.29 +37.5%	24.4%	€0.50	€0.22	n/a	16
Aug ’25	€0.20	€0.31 +55.0%	24.4%	€0.49	€0.21	n/a	15
Jul ’25	€0.20	€0.33 +61.2%	24.6%	€0.49	€0.21	n/a	16
Jun ’25	€0.18	€0.35 +91.0%	24.3%	€0.49	€0.21	n/a	16
May ’25	€0.25	€0.43 +73.9%	12.9%	€0.58	€0.33	n/a	16
Apr ’25	€0.32	€0.44 +36.1%	12.0%	€0.58	€0.37	n/a	16
Mar ’25	€0.34	€0.48 +42.4%	11.8%	€0.59	€0.37	n/a	15
Feb ’25	€0.35	€0.47 +35.7%	11.7%	€0.59	€0.37	n/a	15
Jan ’25	€0.35	€0.48 +36.1%	11.2%	€0.59	€0.37	n/a	16
Dec ’24	€0.37	€0.48 +30.2%	11.2%	€0.59	€0.37	n/a	16
Nov ’24	€0.34	€0.49 +43.2%	12.0%	€0.60	€0.38	n/a	14
Oct ’24	€0.38	€0.52 +38.2%	10.8%	€0.61	€0.38	n/a	16
Sep ’24	€0.39	€0.52 +32.1%	11.0%	€0.60	€0.38	n/a	16
Aug ’24	€0.39	€0.53 +36.7%	11.6%	€0.62	€0.38	€0.20	16
Jul ’24	€0.35	€0.53 +51.1%	11.3%	€0.63	€0.38	€0.20	17
Jun ’24	€0.34	€0.55 +62.0%	11.9%	€0.66	€0.39	€0.18	18
May ’24	€0.35	€0.58 +65.6%	11.6%	€0.80	€0.48	€0.25	19
Apr ’24	€0.37	€0.58 +55.5%	11.4%	€0.80	€0.48	€0.32	20
Mar ’24	€0.43	€0.60 +41.1%	11.0%	€0.80	€0.48	€0.34	19
Feb ’24	€0.43	€0.60 +37.7%	11.4%	€0.79	€0.48	€0.35	19
Jan ’24	€0.38	€0.59 +54.1%	11.3%	€0.78	€0.43	€0.35	21
Dec ’23	€0.44	€0.61 +37.4%	11.0%	€0.80	€0.44	€0.37	20
Nov ’23	€0.51	€0.65 +26.7%	13.0%	€0.84	€0.47	€0.34	19
Oct ’23	€0.49	€0.68 +37.5%	12.7%	€0.88	€0.49	€0.38	20
Sep ’23	€0.43	€0.68 +59.9%	16.7%	€0.95	€0.48	€0.39	19
Aug ’23	€0.41	€0.67 +64.7%	16.0%	€0.91	€0.46	€0.39	20

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.