Hang Lung Group Valuation

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

Below Fair Value: HLU (€1.18) is trading below our estimate of fair value (€2.69)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for HLU. This is calculated by dividing HLU's market cap by their current earnings.
What is HLU's PE Ratio?
PE Ratio6.7x
EarningsHK$2.02b
Market CapHK$13.55b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for HLU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average29.8x
SPB Sedlmayr Grund und Immobilien
61.9xn/a€873.8m
GWK3 GAG Immobilien
24xn/a€800.4m
VIH1 VIB Vermögen
3.9x-19.3%€337.2m
DWB Dinkelacker
29.3xn/a€297.0m
HLU Hang Lung Group
6.7xn/a€13.5b

Price-To-Earnings vs Peers: HLU is good value based on its Price-To-Earnings Ratio (6.7x) compared to the peer average (29.8x).


Price to Earnings Ratio vs Industry

How does HLU's PE Ratio compare vs other companies in the European Real Estate Industry?

29 CompaniesPrice / EarningsEstimated GrowthMarket Cap
HLU 6.7xIndustry Avg. 18.2xNo. of Companies31PE01632486480+
29 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HLU is good value based on its Price-To-Earnings Ratio (6.7x) compared to the European Real Estate industry average (18.2x).


Price to Earnings Ratio vs Fair Ratio

What is HLU'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.

HLU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.7x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate HLU's Price-To-Earnings 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?

Analyst Forecast: Insufficient data to show price forecast.


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