Controladora Axtel S.A.B. de C.V.

BMV:CTAXTEL A Stock Report

Market Cap: Mex$1.6b

Controladora Axtel. de Valuation

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

Below Fair Value: CTAXTEL A (MX$0.33) is trading below our estimate of fair value (MX$2.92)

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


Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for CTAXTEL A. This is calculated by dividing CTAXTEL A's market cap by their current revenue.
What is CTAXTEL A's PS Ratio?
PS Ratio0.1x
SalesMex$11.06b
Market CapMex$1.59b

Price to Sales Ratio vs Peers

How does CTAXTEL A's PS Ratio compare to its peers?

The above table shows the PS ratio for CTAXTEL A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.1x
AXTEL CPO Axtel. de
0.3x7.4%Mex$3.1b
LASITE B-1 Sitios Latinoamérica. de
0.7x14.9%Mex$9.6b
SITES1 A-1 Operadora de Sites Mexicanos. de
3.4x5.9%Mex$43.3b
KDL Kore Digital
4.1xn/a₹7.4b
CTAXTEL A Controladora Axtel. de
0.1xn/aMex$1.6b

Price-To-Sales vs Peers: CTAXTEL A is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (2.1x).


Price to Sales Ratio vs Industry

How does CTAXTEL A's PS Ratio compare vs other companies in the Global Telecom Industry?

32 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.1.4x11.6%
CTAXTEL A Controladora Axtel. de
0.1xn/aUS$76.90m
CTAXTEL A 0.1xIndustry Avg. 1.4xNo. of Companies45PS01.22.43.64.86+
32 CompaniesEstimated GrowthMarket Cap
Industry Avg.1.4x-3.8%
CTAXTEL A Controladora Axtel. de
0.1xn/aUS$76.90m
No more companies

Price-To-Sales vs Industry: CTAXTEL A is good value based on its Price-To-Sales Ratio (0.1x) compared to the Global Telecom industry average (1.4x).


Price to Sales Ratio vs Fair Ratio

What is CTAXTEL A'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.

CTAXTEL A PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.1x
Fair PS Ration/a

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