Rami Levi Chain Stores Hashikma Marketing 2006 Valuation

Q: What is the Fair Price of RMLI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

RMLI (₪228.4) is trading below our estimate of [[fair value]] (₪652.74)

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

Below Fair Value: RMLI (₪228.4) is trading below our estimate of fair value (₪652.74)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RMLI. This is calculated by dividing RMLI's market cap by their current earnings.
What is RMLI's PE Ratio?
PE Ratio	14.5x
Earnings	₪217.44m
Market Cap	₪3.15b

RMLI 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	0.6x
Enterprise Value/EBITDA	9.8x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RMLI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	17.8x
YHNF M.Yochananof and Sons (1988)	19.6x	n/a	₪3.5b
SAE Shufersal	21.1x	n/a	₪9.2b
TTAM Tiv Taam Holdings 1	16.1x	n/a	₪702.1m
VCTR Victory Supermarket Chain	14.2x	n/a	₪742.8m
RMLI Rami Levi Chain Stores Hashikma Marketing 2006	14.5x	n/a	₪3.1b

Price-To-Earnings vs Peers: RMLI is good value based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (17.8x).

Price to Earnings Ratio vs Industry

How does RMLI's PE Ratio compare vs other companies in the Asian Consumer Retailing Industry?

6 Companies	Price / Earnings	Estimated Growth	Market Cap

6 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: RMLI is good value based on its Price-To-Earnings Ratio (14.5x) compared to the Asian Consumer Retailing industry average (16.1x).

Price to Earnings Ratio vs Fair Ratio

What is RMLI'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.

RMLI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	14.5x
Fair PE Ratio	n/a

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

Analyst Forecast: Insufficient data to show price forecast.