Scotia Group Jamaica Valuation

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

Below Fair Value: SGJ (JMD47.1) is trading above our estimate of fair value (JMD7.9)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for SGJ. This is calculated by dividing SGJ's market cap by their current earnings.
What is SGJ's PE Ratio?
PE Ratio	7.9x
Earnings	JA$18.66b
Market Cap	JA$146.56b

SGJ 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	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SGJ 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	8.1x
NCBFG NCB Financial Group	8.1x	n/a	JA$121.7b
FNBB-EQO First National Bank of Botswana	9.1x	n/a	P12.7b
KCB KCB Group	2.5x	13.0%	KSh126.3b
KIB Kuwait International Bank K.S.C.P	12.8x	14.2%	د.ك298.1m
SGJ Scotia Group Jamaica	7.9x	n/a	JA$146.6b

Price-To-Earnings vs Peers: SGJ is good value based on its Price-To-Earnings Ratio (7.9x) compared to the peer average (8.2x).

Price to Earnings Ratio vs Industry

How does SGJ's PE Ratio compare vs other companies in the South American Banks Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: SGJ is good value based on its Price-To-Earnings Ratio (7.9x) compared to the South American Banks industry average (8.8x).

Price to Earnings Ratio vs Fair Ratio

What is SGJ'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.

SGJ PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	7.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SGJ'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.