DSM-Firmenich AG

DB:ZX61 Stock Report

Market Cap: €27.2b

DSM-Firmenich Valuation

Is ZX61 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ZX61 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ZX61 (€8.95) is trading below our estimate of fair value (€10.08)

Significantly Below Fair Value: ZX61 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 ZX61?

Key metric: As ZX61 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for ZX61. This is calculated by dividing ZX61's market cap by their current revenue.
What is ZX61's PS Ratio?
PS Ratio2.2x
Sales€12.46b
Market Cap€27.18b

Price to Sales Ratio vs Peers

How does ZX61's PS Ratio compare to its peers?

The above table shows the PS ratio for ZX61 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.4x
SY1 Symrise
3x5.5%€14.5b
1COV Covestro
0.8x4.3%€10.8b
EVK Evonik Industries
0.5x2.2%€8.2b
2NF Syensqo
1.1x4.2%€7.8b
ZX61 DSM-Firmenich
2.2x4.3%€27.2b

Price-To-Sales vs Peers: ZX61 is expensive based on its Price-To-Sales Ratio (2.2x) compared to the peer average (1.4x).

Price to Sales Ratio vs Industry

How does ZX61's PS Ratio compare vs other companies in the DE Chemicals Industry?

3 CompaniesPrice / SalesEstimated GrowthMarket Cap
2HRA H&R GmbH KGaA
0.09x2.7%US$135.60m
NSAK OTI Greentech
0.03xn/aUS$604.76k
B7Y Byotrol
0.04xn/aUS$246.97k
No more companies available in this PS range
ZX61 2.2xIndustry Avg. 1.0xNo. of Companies4PS00.40.81.21.62+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: ZX61 is expensive based on its Price-To-Sales Ratio (2.2x) compared to the European Chemicals industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is ZX61's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ZX61 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.2x
Fair PS Ratio0.7x

Price-To-Sales vs Fair Ratio: ZX61 is expensive based on its Price-To-Sales Ratio (2.2x) compared to the estimated Fair Price-To-Sales Ratio (0.7x).

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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