ScS Group Valuation

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: SCS (£2.7) is trading above our estimate of fair value (£1.87)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for SCS. This is calculated by dividing SCS's market cap by their current earnings.
What is SCS's PE Ratio?
PE Ratio21.5x
EarningsUK£4.45m
Market CapUK£95.56m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SCS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average56.8x
PROC ProCook Group
60.9x52.5%UK£37.2m
DNLM Dunelm Group
15.2x5.6%UK£2.3b
TPT Topps Tiles
146.5x88.9%UK£77.5m
SHOE Shoe Zone
4.8x-39.8%UK£68.2m
SCS ScS Group
21.5x26.7%UK£95.6m

Price-To-Earnings vs Peers: SCS is expensive based on its Price-To-Earnings Ratio (21.5x) compared to the peer average (15.8x).


Price to Earnings Ratio vs Industry

How does SCS's PE Ratio compare vs other companies in the GB Specialty Retail Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
WRKS TheWorks.co.uk
2xn/aUS$16.45m
No more companies available in this PE range
SCS 21.5xIndustry Avg. 16.1xNo. of Companies6PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SCS is expensive based on its Price-To-Earnings Ratio (21.5x) compared to the UK Specialty Retail industry average (14.2x).


Price to Earnings Ratio vs Fair Ratio

What is SCS'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.

SCS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.5x
Fair PE Ratio17.3x

Price-To-Earnings vs Fair Ratio: SCS is expensive based on its Price-To-Earnings Ratio (21.5x) compared to the estimated Fair Price-To-Earnings Ratio (17.3x).


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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