Arabia Cotton Ginning Valuation

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

ACGC (EGP7.52) is trading above our estimate of [[fair value]] (EGP1.03)

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

Below Fair Value: ACGC (EGP7.52) is trading above our estimate of fair value (EGP1.03)

Significantly Below Fair Value: ACGC is trading above our estimate of fair value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ACGC. This is calculated by dividing ACGC's market cap by their current earnings.
What is ACGC's PE Ratio?
PE Ratio	3.7x
Earnings	ج.م537.30m
Market Cap	ج.م1.97b

ACGC 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	0.9x
Enterprise Value/EBITDA	25.6x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ACGC 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	26.1x
SPIN Alexandria Spinning & Weaving	24x	n/a	ج.م2.8b
KABO El-Nasr Clothing & Textiles (KABO)	10x	n/a	ج.م1.3b
DSCW Dice Sport & Casual Wear	8.9x	n/a	ج.م3.6b
RUBNS Rubenis Tekstil Sanayi Ticaret	61.7x	n/a	₺2.2b
ACGC Arabia Cotton Ginning	3.7x	n/a	ج.م2.0b

Price-To-Earnings vs Peers: ACGC is good value based on its Price-To-Earnings Ratio (3.7x) compared to the peer average (26.4x).

Price to Earnings Ratio vs Industry

How does ACGC's PE Ratio compare vs other companies in the Global Luxury Industry?

53 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	18.9x	12.7%
ACGC Arabia Cotton Ginning	3.7x	n/a	US$39.61m

53 Companies		Estimated Growth	Market Cap
Industry Avg.	18.9x	12.7%
ACGC Arabia Cotton Ginning	3.7x	n/a	US$39.61m

No more companies

Price-To-Earnings vs Industry: ACGC is good value based on its Price-To-Earnings Ratio (3.7x) compared to the Global Luxury industry average (18.8x).

Price to Earnings Ratio vs Fair Ratio

What is ACGC'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.

ACGC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	3.7x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ACGC'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.