Netcompany Group Valuation

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

NETC (DKK355) is trading below our estimate of [[fair value]] (DKK513.84)

Is NETC 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
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: NETC (DKK355) is trading below our estimate of fair value (DKK513.84)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for NETC. This is calculated by dividing NETC's market cap by their current earnings.
What is NETC's PE Ratio?
PE Ratio	40.5x
Earnings	DKK 417.60m
Market Cap	DKK 16.89b

NETC 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	3x
Enterprise Value/EBITDA	21.9x
PEG Ratio	1.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NETC 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	37.3x
TRIFOR Trifork Group	10.5x	9.2%	DKK 1.4b
COLUM Columbus	37x	n/a	DKK 1.4b
DATA Dataproces Group	64.2x	n/a	DKK 198.3m
SIM SimCorp	37.5x	n/a	DKK 28.8b
NETC Netcompany Group	40.5x	30.0%	DKK 16.9b

Price-To-Earnings vs Peers: NETC is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the peer average (37.2x).

Price to Earnings Ratio vs Industry

How does NETC's PE Ratio compare vs other companies in the European IT Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: NETC is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the European IT industry average (17.9x).

Price to Earnings Ratio vs Fair Ratio

What is NETC'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.

NETC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	40.5x
Fair PE Ratio	37.8x

Price-To-Earnings vs Fair Ratio: NETC is expensive based on its Price-To-Earnings Ratio (40.5x) compared to the estimated Fair Price-To-Earnings Ratio (37.8x).

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 NETC 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	DKK 355.00	DKK 340.29 -4.1%	9.4%	DKK 387.00	DKK 300.00	n/a	7
Nov ’25	DKK 318.20	DKK 333.14 +4.7%	9.5%	DKK 387.00	DKK 300.00	n/a	7
Oct ’25	DKK 309.00	DKK 323.00 +4.5%	8.0%	DKK 374.00	DKK 295.00	n/a	8
Sep ’25	DKK 305.80	DKK 310.44 +1.5%	13.4%	DKK 374.00	DKK 215.00	n/a	9
Aug ’25	DKK 286.60	DKK 301.78 +5.3%	12.2%	DKK 346.00	DKK 215.00	n/a	9
Jul ’25	DKK 304.00	DKK 303.00 -0.3%	12.6%	DKK 357.00	DKK 215.00	n/a	9
Jun ’25	DKK 300.80	DKK 301.33 +0.2%	12.5%	DKK 357.00	DKK 215.00	n/a	9
May ’25	DKK 257.20	DKK 281.56 +9.5%	13.3%	DKK 325.00	DKK 200.00	n/a	9
Apr ’25	DKK 285.00	DKK 275.67 -3.3%	15.0%	DKK 325.00	DKK 200.00	n/a	9
Mar ’25	DKK 300.00	DKK 275.67 -8.1%	15.0%	DKK 325.00	DKK 200.00	n/a	9
Feb ’25	DKK 279.40	DKK 265.56 -5.0%	14.1%	DKK 325.00	DKK 200.00	n/a	9
Jan ’25	DKK 225.60	DKK 257.22 +14.0%	13.2%	DKK 305.00	DKK 190.00	n/a	9
Dec ’24	DKK 217.20	DKK 256.11 +17.9%	13.4%	DKK 305.00	DKK 190.00	n/a	9
Nov ’24	DKK 225.60	DKK 284.69 +26.2%	13.0%	DKK 350.00	DKK 230.00	DKK 318.20	8
Oct ’24	DKK 268.70	DKK 280.00 +4.2%	14.7%	DKK 350.00	DKK 210.00	DKK 309.00	7
Sep ’24	DKK 260.20	DKK 280.00 +7.6%	14.7%	DKK 350.00	DKK 210.00	DKK 305.80	7
Aug ’24	DKK 316.90	DKK 314.88 -0.6%	20.9%	DKK 430.00	DKK 215.00	DKK 286.60	8
Jul ’24	DKK 282.40	DKK 313.63 +11.1%	21.6%	DKK 430.00	DKK 205.00	DKK 304.00	8
Jun ’24	DKK 281.50	DKK 313.63 +11.4%	21.6%	DKK 430.00	DKK 205.00	DKK 300.80	8
May ’24	DKK 262.00	DKK 313.31 +19.6%	21.7%	DKK 432.50	DKK 205.00	DKK 257.20	8
Apr ’24	DKK 249.20	DKK 314.88 +26.4%	22.5%	DKK 445.00	DKK 205.00	DKK 285.00	8
Mar ’24	DKK 242.80	DKK 314.88 +29.7%	22.5%	DKK 445.00	DKK 205.00	DKK 300.00	8
Feb ’24	DKK 275.00	DKK 338.43 +23.1%	20.0%	DKK 445.00	DKK 260.00	DKK 279.40	7
Jan ’24	DKK 294.20	DKK 416.33 +41.5%	12.7%	DKK 475.00	DKK 325.00	DKK 225.60	6
Dec ’23	DKK 339.00	DKK 415.50 +22.6%	12.7%	DKK 475.00	DKK 325.00	DKK 217.20	6
Nov ’23	DKK 263.20	DKK 399.50 +51.8%	15.5%	DKK 475.00	DKK 280.00	DKK 225.60	6

Analyst Forecast: Target price is lower than the current share price.