Caribbean Flavours and Fragrances Limited

JMSE:CFF Stock Report

Market Cap: JA$1.3b

Caribbean Flavours and Fragrances Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: CFF (JMD1.4) is trading above our estimate of fair value (JMD0.65)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for CFF. This is calculated by dividing CFF's market cap by their current earnings.
What is CFF's PE Ratio?
PE Ratio11.6x
EarningsJA$108.65m
Market CapJA$1.26b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for CFF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.9x
KREMI Caribbean Cream
21xn/aJA$1.3b
SALF Salada Foods Jamaica
13.3xn/aJA$3.2b
HONBUN Honey Bun (1982)
14.3xn/aJA$3.9b
SPURTREE Spur Tree Spices Jamaica
34.7xn/aJA$3.2b
CFF Caribbean Flavours and Fragrances
11.6xn/aJA$1.3b

Price-To-Earnings vs Peers: CFF is good value based on its Price-To-Earnings Ratio (11.6x) compared to the peer average (20.9x).


Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
CFF 11.6xIndustry Avg. 9.9xNo. of Companies15PE0816243240+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CFF is expensive based on its Price-To-Earnings Ratio (11.6x) compared to the South American Food industry average (9.9x).


Price to Earnings Ratio vs Fair Ratio

What is CFF'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.

CFF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.6x
Fair PE Ration/a

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


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