Garo Aktiebolag (publ)

LSE:0REY Stock Report

Market Cap: SEK 989.0m

Garo Aktiebolag Valuation

Is 0REY 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 0REY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0REY (SEK20.95) is trading above our estimate of fair value (SEK11.69)

Significantly Below Fair Value: 0REY is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0REY?

Key metric: As 0REY is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 0REY. This is calculated by dividing 0REY's market cap by their current revenue.
What is 0REY's PS Ratio?
PS Ratio0.8x
SalesSEK 1.18b
Market CapSEK 989.00m

Price to Sales Ratio vs Peers

How does 0REY's PS Ratio compare to its peers?

The above table shows the PS ratio for 0REY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average10.6x
DWHT Dewhurst Group
1.5x3.7%UK£60.3m
DIA Dialight
0.4x5.1%UK£51.8m
ROOF Atrato Onsite Energy
23.6xn/aUK£114.0m
IKA Ilika
17.2x60.0%UK£36.0m
0REY Garo Aktiebolag
0.8x6.2%SEK 989.0m

Price-To-Sales vs Peers: 0REY is good value based on its Price-To-Sales Ratio (0.8x) compared to the peer average (10.6x).

Price to Sales Ratio vs Industry

How does 0REY's PS Ratio compare vs other companies in the GB Electrical Industry?

12 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.1.8x14.5%
0REY Garo Aktiebolag
 0.8x6.2%US$89.56m
DSCV discoverIE Group
1.4x2.8%US$768.21m
VLX Volex
0.7x6.7%US$684.71m
0REY 0.8xIndustry Avg. 1.8xNo. of Companies11PS0612182430+
12 CompaniesEstimated GrowthMarket Cap
Industry Avg.1.8x31.6%
0REY Garo Aktiebolag
 0.8x110.0%US$89.56m
No more companies

Price-To-Sales vs Industry: 0REY is good value based on its Price-To-Sales Ratio (0.8x) compared to the UK Electrical industry average (1.8x).

Price to Sales Ratio vs Fair Ratio

What is 0REY'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.

0REY PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.8x
Fair PS Ratio0.6x

Price-To-Sales vs Fair Ratio: 0REY is expensive based on its Price-To-Sales Ratio (0.8x) compared to the estimated Fair Price-To-Sales Ratio (0.6x).

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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