Nel Valuation

Is NELO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: Insufficient data to calculate NELO's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate NELO's fair value for valuation analysis.

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for NELO. This is calculated by dividing NELO's market cap by their current revenue.
What is NELO's PS Ratio?
PS Ratio	5.1x
Sales	NOK 1.73b
Market Cap	NOK 8.77b

NELO 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	3.3x
Enterprise Value/EBITDA	-14.1x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for NELO 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	5.2x
ITM ITM Power	13.2x	39.2%	UK£217.7m
IES Invinity Energy Systems	6x	61.5%	UK£52.9m
SAE SIMEC Atlantis Energy	0.9x	26.8%	UK£12.3m
VLX Volex	0.7x	6.7%	UK£546.4m
NELO Nel	5.1x	28.2%	NOK 8.8b

Price-To-Sales vs Peers: NELO is good value based on its Price-To-Sales Ratio (5.1x) compared to the peer average (8.2x).

Price to Sales Ratio vs Industry

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

11 Companies	Price / Sales	Estimated Growth	Market Cap
DSCV discoverIE Group	1.4x	2.8%	US$768.21m
VLX Volex	0.7x	6.7%	US$684.71m
XPP XP Power	1.1x	3.4%	US$393.36m
LUCE Luceco	0.9x	8.2%	US$245.44m

11 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: NELO is expensive based on its Price-To-Sales Ratio (5.1x) compared to the UK Electrical industry average (2.5x).

Price to Sales Ratio vs Fair Ratio

What is NELO'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.

NELO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	5.1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate NELO's Price-To-Sales 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.

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