Aurora Eiendom Valuation

Q: What is the Fair Price of IL7 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

IL7 (€6.15) is trading below our estimate of [[fair value]] (€6.61)

Is IL7 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-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 IL7 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IL7 (€6.15) is trading below our estimate of fair value (€6.61)

Significantly Below Fair Value: IL7 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 IL7?

Key metric: As IL7 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for IL7. This is calculated by dividing IL7's market cap by their current revenue.
What is IL7's PS Ratio?
PS Ratio	4x
Sales	NOK 593.40m
Market Cap	NOK 2.38b

IL7 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	11.5x
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does IL7's PS Ratio compare to its peers?

The above table shows the PS ratio for IL7 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	7.6x
STG STINAG Stuttgart Invest	6.6x	3.2%	€190.5m
DRE2 Deutsche Real Estate	4.3x	n/a	€150.3m
DEF DEFAMA Deutsche Fachmarkt	5.4x	9.9%	€141.1m
AGR AGROB Immobilien	14.1x	n/a	€172.8m
IL7 Aurora Eiendom	4x	1.7%	€2.4b

Price-To-Sales vs Peers: IL7 is good value based on its Price-To-Sales Ratio (4x) compared to the peer average (7.5x).

Price to Sales Ratio vs Industry

How does IL7's PS Ratio compare vs other companies in the DE Real Estate Industry?

9 Companies	Price / Sales	Estimated Growth	Market Cap
DMRE DEMIRE Deutsche Mittelstand Real Estate	0.5x	-42.0%	US$87.97m
ADJ Adler Group	0.1x	n/a	US$56.63m
NUVA Noratis	0.3x	16.6%	US$15.96m
A4Y ACCENTRO Real Estate	0.1x	5.2%	US$10.27m

9 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: IL7 is expensive based on its Price-To-Sales Ratio (4x) compared to the German Real Estate industry average (3.8x).

Price to Sales Ratio vs Fair Ratio

What is IL7'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.

IL7 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	4x
Fair PS Ratio	4.8x

Price-To-Sales vs Fair Ratio: IL7 is good value based on its Price-To-Sales Ratio (4x) compared to the estimated Fair Price-To-Sales Ratio (4.8x).

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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