Bamburi Cement Valuation

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

BAMB (KES63) is trading above our estimate of [[fair value]] (KES27.06)

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

Below Fair Value: BAMB (KES63) is trading above our estimate of fair value (KES27.06)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BAMB. This is calculated by dividing BAMB's market cap by their current earnings.
What is BAMB's PE Ratio?
PE Ratio	17.7x
Earnings	KSh1.29b
Market Cap	KSh22.87b

BAMB 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	0.5x
Enterprise Value/EBITDA	3.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BAMB 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	22.3x
1109 Hsing Ta CementLtd	10.6x	n/a	NT$6.3b
600883 Yunnan Bowin Technology IndustryLtd	22.6x	n/a	CN¥1.6b
HT1 Ha Tien 1 Cement	44.6x	n/a	₫4.4t
VOLCAN Compañía Industrial El Volcán	11.2x	n/a	CL$187.6b
BAMB Bamburi Cement	17.7x	n/a	KSh22.9b

Price-To-Earnings vs Peers: BAMB is good value based on its Price-To-Earnings Ratio (17.7x) compared to the peer average (22.5x).

Price to Earnings Ratio vs Industry

How does BAMB's PE Ratio compare vs other companies in the Global Basic Materials Industry?

4 Companies	Price / Earnings	Estimated Growth	Market Cap

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: BAMB is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the Global Basic Materials industry average (16.7x).

Price to Earnings Ratio vs Fair Ratio

What is BAMB'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.

BAMB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	17.7x
Fair PE Ratio	n/a

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