Ilika plc

AIM:IKA Stock Report

Market Cap: UK£35.6m

Ilika Valuation

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

Below Fair Value: IKA (£0.22) is trading below our estimate of fair value (£0.63)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for IKA. This is calculated by dividing IKA's market cap by their current revenue.
What is IKA's PS Ratio?
PS Ratio17.2x
SalesUK£2.09m
Market CapUK£35.55m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for IKA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.7x
GELN Gelion
12.4xn/aUK£25.8m
CKT Checkit
1.6x15.2%UK£21.1m
PODP Pod Point Group Holdings
0.3x19.9%UK£20.1m
DIA Dialight
0.4x5.1%UK£51.2m
IKA Ilika
17.2x60.0%UK£35.6m

Price-To-Sales vs Peers: IKA is expensive based on its Price-To-Sales Ratio (17.2x) compared to the peer average (3.7x).

Price to Sales Ratio vs Industry

How does IKA's PS Ratio compare vs other companies in the GB Electrical Industry?

11 CompaniesPrice / SalesEstimated GrowthMarket Cap
DSCV discoverIE Group
1.4x2.8%US$768.31m
VLX Volex
0.7x6.7%US$671.28m
XPP XP Power
1.1x3.4%US$389.25m
LUCE Luceco
0.9x8.2%US$245.09m
IKA 17.2xIndustry Avg. 1.9xNo. of Companies11PS0612182430+
11 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: IKA is expensive based on its Price-To-Sales Ratio (17.2x) compared to the UK Electrical industry average (1.9x).

Price to Sales Ratio vs Fair Ratio

What is IKA'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.

IKA PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio17.2x
Fair PS Ratio5x

Price-To-Sales vs Fair Ratio: IKA is expensive based on its Price-To-Sales Ratio (17.2x) compared to the estimated Fair Price-To-Sales Ratio (5x).

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 IKA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£0.21
UK£0.82
+283.7%
15.2%UK£0.95UK£0.70n/a2
Nov ’25UK£0.19
UK£0.82
+334.2%
15.2%UK£0.95UK£0.70n/a2
Oct ’25UK£0.23
UK£0.82
+251.1%
15.2%UK£0.95UK£0.70n/a2
Sep ’25UK£0.25
UK£0.82
+230.0%
15.2%UK£0.95UK£0.70n/a2
Aug ’25UK£0.27
UK£0.82
+205.6%
15.2%UK£0.95UK£0.70n/a2
Jul ’25UK£0.25
UK£0.81
+224.0%
19.8%UK£0.97UK£0.65n/a2
May ’25UK£0.30
UK£0.82
+175.0%
21.2%UK£1.00UK£0.65n/a2
Apr ’25UK£0.28
UK£0.88
+213.6%
25.7%UK£1.10UK£0.65n/a2
Mar ’25UK£0.36
UK£0.88
+143.1%
25.7%UK£1.10UK£0.65n/a2
Feb ’25UK£0.36
UK£0.88
+143.1%
25.7%UK£1.10UK£0.65n/a2
Jan ’25UK£0.36
UK£0.93
+156.9%
29.7%UK£1.20UK£0.65n/a2
Dec ’24UK£0.45
UK£0.93
+105.6%
29.7%UK£1.20UK£0.65n/a2
Nov ’24UK£0.31
UK£0.93
+198.4%
29.7%UK£1.20UK£0.65UK£0.192
Oct ’24UK£0.32
UK£0.93
+193.7%
29.7%UK£1.20UK£0.65UK£0.232
Sep ’24UK£0.43
UK£0.93
+115.1%
29.7%UK£1.20UK£0.65UK£0.252
Aug ’24UK£0.45
UK£0.90
+102.2%
33.3%UK£1.20UK£0.60UK£0.272
Jul ’24UK£0.39
UK£0.85
+117.9%
30.0%UK£1.20UK£0.60UK£0.253
Jun ’24UK£0.44
UK£0.85
+93.2%
30.0%UK£1.20UK£0.60UK£0.283
May ’24UK£0.48
UK£0.87
+78.6%
32.1%UK£1.25UK£0.60UK£0.303
Apr ’24UK£0.41
UK£0.87
+111.2%
32.1%UK£1.25UK£0.60UK£0.283
Mar ’24UK£0.49
UK£0.71
+45.3%
50.5%UK£1.25UK£0.25UK£0.364
Feb ’24UK£0.59
UK£0.71
+19.7%
50.5%UK£1.25UK£0.25UK£0.364
Jan ’24UK£0.24
UK£0.72
+198.8%
52.2%UK£1.30UK£0.25UK£0.364
Dec ’23UK£0.30
UK£0.72
+141.5%
52.2%UK£1.30UK£0.25UK£0.454
Nov ’23UK£0.52
UK£1.37
+163.0%
49.8%UK£2.40UK£0.50UK£0.314

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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