Zotefoams plc

LSE:ZTF Stock Report

Market Cap: UK£163.8m

Zotefoams Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: ZTF (£3.45) is trading below our estimate of fair value (£5.8)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for ZTF. This is calculated by dividing ZTF's market cap by their current earnings.
What is ZTF's PE Ratio?
PE Ratio16.9x
EarningsUK£9.93m
Market CapUK£163.81m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for ZTF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.1x
TET Treatt
22.6x15.3%UK£255.9m
CAPD Capital
7.3x11.0%UK£168.8m
JLP Jubilee Metals Group
32.3x84.0%UK£153.6m
ECOR Ecora Resources
10.3x14.9%UK£162.5m
ZTF Zotefoams
16.9xn/aUK£167.7m

Price-To-Earnings vs Peers: ZTF is good value based on its Price-To-Earnings Ratio (16.9x) compared to the peer average (18.1x).

Price to Earnings Ratio vs Industry

How does ZTF's PE Ratio compare vs other companies in the European Chemicals Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ZTF 16.9xIndustry Avg. 16.8xNo. of Companies11PE01224364860+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ZTF is expensive based on its Price-To-Earnings Ratio (16.9x) compared to the European Chemicals industry average (16.8x).

Price to Earnings Ratio vs Fair Ratio

What is ZTF'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.

ZTF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ZTF'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?

The above table shows the analyst ZTF forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£3.45
UK£5.83
+68.8%
5.6%UK£6.15UK£5.50n/a2
Nov ’25UK£3.56
UK£5.83
+63.6%
5.6%UK£6.15UK£5.50n/a2
Oct ’25UK£4.10
UK£5.83
+42.1%
5.6%UK£6.15UK£5.50n/a2
Sep ’25UK£4.66
UK£5.83
+25.0%
5.6%UK£6.15UK£5.50n/a2
Aug ’25UK£5.06
UK£5.78
+14.1%
4.8%UK£6.05UK£5.50n/a2
Jul ’25UK£4.46
UK£5.78
+29.5%
4.8%UK£6.05UK£5.50n/a2
Jun ’25UK£5.62
UK£5.78
+2.8%
4.8%UK£6.05UK£5.50n/a2
May ’25UK£4.20
UK£4.60
+9.5%
8.7%UK£5.00UK£4.20n/a2
Apr ’25UK£3.81
UK£4.60
+20.7%
8.7%UK£5.00UK£4.20n/a2
Mar ’25UK£3.40
UK£4.50
+32.4%
6.7%UK£4.80UK£4.20n/a2
Feb ’25UK£3.82
UK£4.50
+17.8%
6.7%UK£4.80UK£4.20n/a2
Jan ’25UK£3.35
UK£4.50
+34.3%
6.7%UK£4.80UK£4.20n/a2
Dec ’24UK£3.30
UK£4.50
+36.4%
6.7%UK£4.80UK£4.20n/a2
Nov ’24UK£2.86
UK£4.50
+57.3%
6.7%UK£4.80UK£4.20UK£3.562
Oct ’24UK£3.34
UK£4.50
+34.7%
6.7%UK£4.80UK£4.20UK£4.102
Sep ’24UK£3.45
UK£4.23
+22.5%
0.6%UK£4.25UK£4.20UK£4.662
Aug ’24UK£4.00
UK£4.27
+6.7%
5.3%UK£4.55UK£4.00UK£5.063
Jul ’24UK£3.37
UK£4.27
+26.6%
5.3%UK£4.55UK£4.00UK£4.463
Jun ’24UK£3.52
UK£4.27
+21.4%
5.3%UK£4.55UK£4.00UK£5.623
May ’24UK£3.79
UK£4.27
+12.6%
5.3%UK£4.55UK£4.00UK£4.203
Apr ’24UK£3.88
UK£4.27
+10.0%
5.3%UK£4.55UK£4.00UK£3.813
Mar ’24UK£3.38
UK£4.27
+26.2%
5.3%UK£4.55UK£4.00UK£3.403
Feb ’24UK£3.66
UK£4.27
+16.6%
5.3%UK£4.55UK£4.00UK£3.823
Jan ’24UK£3.40
UK£3.93
+15.7%
12.5%UK£4.50UK£3.30UK£3.353
Dec ’23UK£3.13
UK£3.93
+25.9%
12.5%UK£4.50UK£3.30UK£3.303
Nov ’23UK£2.95
UK£3.93
+33.3%
12.5%UK£4.50UK£3.30UK£2.863

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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