Birman Wood & Hardware Ltd

TASE:BIRM Stock Report

Market Cap: ₪107.2m

Birman Wood & Hardware Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: BIRM (₪9.75) is trading below our estimate of fair value (₪322.31)

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


Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for BIRM. This is calculated by dividing BIRM's market cap by their current revenue.
What is BIRM's PS Ratio?
PS Ratio0.3x
Sales₪329.56m
Market Cap₪107.23m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for BIRM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.9x
BRIH Rav-Bariach (08) Industries
0.4xn/a₪282.3m
GRIN Golan Renewable Industries
0.9xn/a₪361.5m
KLIL Klil Industries
1.5xn/a₪464.3m
HAMAT Hamat Group
0.6xn/a₪546.0m
BIRM Birman Wood & Hardware
0.3xn/a₪107.2m

Price-To-Sales vs Peers: BIRM is good value based on its Price-To-Sales Ratio (0.3x) compared to the peer average (0.9x).


Price to Sales Ratio vs Industry

How does BIRM's PS Ratio compare vs other companies in the Asian Building Industry?

16 CompaniesPrice / SalesEstimated GrowthMarket Cap
BIRM 0.3xIndustry Avg. 1.0xNo. of Companies42PS00.81.62.43.24+
16 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: BIRM is good value based on its Price-To-Sales Ratio (0.3x) compared to the Asian Building industry average (1x).


Price to Sales Ratio vs Fair Ratio

What is BIRM'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.

BIRM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.3x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate BIRM'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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