DRB-HICOM Berhad

KLSE:DRBHCOM Stock Report

Market Cap: RM 2.0b

DRB-HICOM Berhad Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: DRBHCOM (MYR1.06) is trading below our estimate of fair value (MYR2.92)

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

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

DRBHCOM 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/Revenue0.5x
Enterprise Value/EBITDA5.7x
PEG Ratio0.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for DRBHCOM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average10x
ORIENT Oriental Holdings Berhad
7.7xn/aRM 4.5b
UMW UMW Holdings Berhad
8.1x-13.3%RM 5.8b
PECCA Pecca Group Berhad
16.9xn/aRM 930.3m
APM APM Automotive Holdings Berhad
7.1xn/aRM 557.2m
DRBHCOM DRB-HICOM Berhad
11.9x37.4%RM 2.0b

Price-To-Earnings vs Peers: DRBHCOM is expensive based on its Price-To-Earnings Ratio (11.9x) compared to the peer average (10x).

Price to Earnings Ratio vs Industry

How does DRBHCOM's PE Ratio compare vs other companies in the Asian Auto Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.9%
 n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a8.9%
 n/an/an/a
No more companies

Price-To-Earnings vs Industry: DRBHCOM is good value based on its Price-To-Earnings Ratio (11.9x) compared to the Asian Auto industry average (16.2x).

Price to Earnings Ratio vs Fair Ratio

What is DRBHCOM'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.

DRBHCOM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.9x
Fair PE Ratio16.3x

Price-To-Earnings vs Fair Ratio: DRBHCOM is good value based on its Price-To-Earnings Ratio (11.9x) compared to the estimated Fair Price-To-Earnings Ratio (16.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst DRBHCOM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM 1.06
RM 1.40
+32.3%
12.8%RM 1.70RM 1.23n/a4
Oct ’25RM 1.09
RM 1.40
+28.7%
12.8%RM 1.70RM 1.23n/a4
Sep ’25RM 1.17
RM 1.40
+19.9%
12.8%RM 1.70RM 1.23n/a4
Aug ’25RM 1.33
RM 1.61
+21.2%
7.7%RM 1.70RM 1.40n/a4
Jul ’25RM 1.34
RM 1.61
+20.3%
7.7%RM 1.70RM 1.40n/a4
Jun ’25RM 1.34
RM 1.61
+20.3%
7.7%RM 1.70RM 1.40n/a4
May ’25RM 1.40
RM 1.70
+21.4%
12.5%RM 2.00RM 1.40n/a4
Apr ’25RM 1.49
RM 1.70
+14.1%
12.5%RM 2.00RM 1.40n/a4
Mar ’25RM 1.38
RM 1.70
+23.2%
12.5%RM 2.00RM 1.40n/a4
Feb ’25RM 1.35
RM 1.81
+34.3%
14.1%RM 2.10RM 1.45n/a4
Jan ’25RM 1.39
RM 1.81
+30.4%
14.1%RM 2.10RM 1.45n/a4
Dec ’24RM 1.41
RM 1.81
+28.5%
14.1%RM 2.10RM 1.45n/a4
Nov ’24RM 1.38
RM 1.81
+31.3%
14.1%RM 2.10RM 1.45RM 1.084
Oct ’24RM 1.43
RM 1.81
+26.7%
14.1%RM 2.10RM 1.45RM 1.094
Sep ’24RM 1.46
RM 1.79
+22.4%
15.1%RM 2.10RM 1.45RM 1.174
Aug ’24RM 1.49
RM 1.82
+22.1%
18.1%RM 2.18RM 1.40RM 1.334
Jul ’24RM 1.34
RM 1.82
+35.8%
18.1%RM 2.18RM 1.40RM 1.344
Jun ’24RM 1.32
RM 1.82
+37.9%
18.1%RM 2.18RM 1.40RM 1.344
May ’24RM 1.41
RM 1.82
+29.1%
17.1%RM 2.24RM 1.40RM 1.405
Apr ’24RM 1.38
RM 1.82
+31.9%
17.1%RM 2.24RM 1.40RM 1.495
Mar ’24RM 1.44
RM 1.86
+29.2%
14.2%RM 2.24RM 1.60RM 1.385
Feb ’24RM 1.76
RM 1.85
+5.0%
12.3%RM 2.24RM 1.60RM 1.355
Jan ’24RM 1.60
RM 1.85
+15.5%
12.3%RM 2.24RM 1.60RM 1.395
Dec ’23RM 1.59
RM 1.77
+11.0%
15.8%RM 2.24RM 1.35RM 1.416
Nov ’23RM 1.32
RM 1.67
+26.4%
15.1%RM 2.06RM 1.35RM 1.386

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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