NKT Valuation

Is NKT 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-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • PM vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: NKT (DKK513.5) is trading below our estimate of fair value (DKK741.53)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

NKT 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/Revenue1.2x
Enterprise Value/EBITDA12.9x
PEG Ratio2x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NKT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.6x
FLS FLSmidth
26.7x31.5%kr.18.1b
ROCK B Rockwool
16.8x2.6%kr.48.4b
PAAL B Per Aarsleff Holding
7.6x0.7%kr.6.1b
600885 Hongfa Technology
19.2x20.0%CN¥26.0b
NKT NKT
34.3x17.5%kr.27.5b

Price-To-Earnings vs Peers: NKT is expensive based on its Price-To-Earnings Ratio (34.3x) compared to the peer average (17.6x).


Price to Earnings Ratio vs Industry

How does NKT's PE Ratio compare vs other companies in the European Electrical Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a14.7%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a14.7%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: NKT is expensive based on its Price-To-Earnings Ratio (34.3x) compared to the European Electrical industry average (18.8x).


Price to Earnings Ratio vs Fair Ratio

What is NKT'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.

NKT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.3x
Fair PE Ratio17.1x

PM vs Fair Ratio: NKT is expensive based on its Price-To-Earnings Ratio (34.3x) compared to the estimated Fair Price-To-Earnings Ratio (17.1x).


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 NKT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentkr.513.50
kr.533.50
+3.9%
11.9%kr.580.00kr.424.00n/a4
Feb ’25kr.483.20
kr.518.50
+7.3%
10.9%kr.570.00kr.424.00n/a4
Jan ’25kr.463.80
kr.474.75
+2.4%
11.5%kr.530.00kr.394.00n/a4
Dec ’24kr.431.40
kr.474.75
+10.0%
11.5%kr.530.00kr.394.00n/a4
Nov ’24kr.347.80
kr.470.00
+35.1%
15.7%kr.540.00kr.350.00n/a4
Oct ’24kr.369.00
kr.470.00
+27.4%
15.7%kr.540.00kr.350.00n/a4
Sep ’24kr.372.40
kr.439.94
+18.1%
18.4%kr.540.00kr.339.72n/a5
Aug ’24kr.389.20
kr.446.14
+14.6%
17.7%kr.550.00kr.339.72n/a5
Jul ’24kr.413.80
kr.404.16
-2.3%
17.1%kr.500.00kr.339.72n/a3
Jun ’24kr.425.20
kr.425.33
+0.03%
12.9%kr.500.00kr.370.00n/a3
May ’24kr.360.60
kr.425.75
+18.1%
13.2%kr.500.00kr.370.00n/a4
Apr ’24kr.357.00
kr.427.75
+19.8%
12.7%kr.500.00kr.370.00n/a4
Mar ’24kr.326.80
kr.414.00
+26.7%
9.4%kr.460.00kr.370.00n/a4
Feb ’24kr.430.60
kr.432.75
+0.5%
7.5%kr.460.00kr.381.00kr.483.204
Jan ’24kr.391.40
kr.430.50
+10.0%
8.3%kr.460.00kr.372.00kr.463.804
Dec ’23kr.384.60
kr.425.50
+10.6%
7.7%kr.460.00kr.372.00kr.431.404
Nov ’23kr.376.60
kr.420.50
+11.7%
6.7%kr.440.00kr.372.00kr.347.804
Oct ’23kr.360.80
kr.423.50
+17.4%
5.5%kr.440.00kr.384.00kr.369.004
Sep ’23kr.363.60
kr.394.75
+8.6%
8.3%kr.440.00kr.350.00kr.372.404
Aug ’23kr.376.00
kr.384.50
+2.3%
9.2%kr.440.00kr.350.00kr.389.204
Jul ’23kr.298.40
kr.374.75
+25.6%
7.0%kr.410.00kr.349.00kr.413.804
Jun ’23kr.339.20
kr.353.80
+4.3%
8.1%kr.400.00kr.310.00kr.425.205
May ’23kr.339.20
kr.333.60
-1.7%
14.3%kr.400.00kr.275.00kr.360.605
Apr ’23kr.311.00
kr.336.20
+8.1%
12.4%kr.400.00kr.275.00kr.357.005
Mar ’23kr.282.00
kr.342.50
+21.5%
15.0%kr.415.00kr.275.00kr.326.804
Feb ’23kr.285.80
kr.346.25
+21.2%
15.5%kr.415.00kr.265.00kr.430.604

Analyst Forecast: Target price is less than 20% higher than the current share price.


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