Gadang Holdings Berhad Valuation

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: GADANG (MYR0.32) is trading above our estimate of fair value (MYR0.06)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for GADANG. This is calculated by dividing GADANG's market cap by their current earnings.
What is GADANG's PE Ratio?
PE Ratio	53.4x
Earnings	RM 4.73m
Market Cap	RM 252.27m

GADANG 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	12.8x
PEG Ratio	1.1x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for GADANG 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	23.6x
NESTCON Nestcon Berhad	52.8x	n/a	RM 271.6m
GDB GDB Holdings Berhad	21.9x	n/a	RM 267.2m
DKLS DKLS Industries Berhad	5x	n/a	RM 176.1m
AWC AWC Berhad	14.7x	26.7%	RM 286.5m
GADANG Gadang Holdings Berhad	53.4x	46.5%	RM 252.3m

Price-To-Earnings vs Peers: GADANG is expensive based on its Price-To-Earnings Ratio (53.4x) compared to the peer average (23.6x).

Price to Earnings Ratio vs Industry

How does GADANG's PE Ratio compare vs other companies in the MY Construction Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap
AZRB Ahmad Zaki Resources Berhad	1.2x	n/a	US$32.29m
ZELAN Zelan Berhad	1x	n/a	US$7.56m

No more companies available in this PE range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: GADANG is expensive based on its Price-To-Earnings Ratio (53.4x) compared to the MY Construction industry average (19.6x).

Price to Earnings Ratio vs Fair Ratio

What is GADANG'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.

GADANG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	53.4x
Fair PE Ratio	27.6x

Price-To-Earnings vs Fair Ratio: GADANG is expensive based on its Price-To-Earnings Ratio (53.4x) compared to the estimated Fair Price-To-Earnings Ratio (27.6x).

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 GADANG forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	RM 0.32	RM 0.45 +41.3%	30.3%	RM 0.58	RM 0.31	n/a	2
Nov ’25	RM 0.32	RM 0.45 +39.1%	30.3%	RM 0.58	RM 0.31	n/a	2
Oct ’25	RM 0.33	RM 0.47 +43.9%	22.1%	RM 0.58	RM 0.37	n/a	2
Sep ’25	RM 0.35	RM 0.47 +35.7%	22.1%	RM 0.58	RM 0.37	n/a	2
Nov ’24	RM 0.32	RM 0.27 -13.5%	2.8%	RM 0.28	RM 0.27	RM 0.32	2
Oct ’24	RM 0.34	RM 0.27 -19.9%	2.8%	RM 0.28	RM 0.27	RM 0.33	2
Sep ’24	RM 0.35	RM 0.27 -23.2%	2.8%	RM 0.28	RM 0.27	RM 0.35	2
Aug ’24	RM 0.31	RM 0.27 -12.1%	2.8%	RM 0.28	RM 0.27	RM 0.41	2
Jul ’24	RM 0.28	RM 0.29 +4.5%	9.4%	RM 0.32	RM 0.27	RM 0.45	2
Jun ’24	RM 0.28	RM 0.29 +4.5%	9.4%	RM 0.32	RM 0.27	RM 0.44	2
May ’24	RM 0.29	RM 0.29 -0.8%	9.4%	RM 0.32	RM 0.27	RM 0.40	2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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