IJM Corporation Berhad Valuation

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

Below Fair Value: IJM (MYR2.55) is trading above our estimate of fair value (MYR2.43)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

IJM 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/Revenue2x
Enterprise Value/EBITDA8.1x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for IJM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.7x
SUNCON Sunway Construction Group Berhad
27.7x16.9%RM4.2b
KERJAYA Kerjaya Prospek Group Berhad
17.7x13.7%RM2.3b
GAMUDA Gamuda Berhad
19.1x13.6%RM16.9b
MRCB Malaysian Resources Corporation Berhad
30.3x-19.0%RM3.1b
IJM IJM Corporation Berhad
28.5x17.2%RM9.0b

Price-To-Earnings vs Peers: IJM is expensive based on its Price-To-Earnings Ratio (28.5x) compared to the peer average (23.7x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.7%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.7%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: IJM is expensive based on its Price-To-Earnings Ratio (28.5x) compared to the MY Construction industry average (24.1x).


Price to Earnings Ratio vs Fair Ratio

What is IJM'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.

IJM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio28.5x
Fair PE Ratio26x

Price-To-Earnings vs Fair Ratio: IJM is expensive based on its Price-To-Earnings Ratio (28.5x) compared to the estimated Fair Price-To-Earnings Ratio (26x).


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 IJM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM2.55
RM2.32
-8.9%
13.4%RM2.88RM1.90n/a13
May ’25RM2.42
RM2.32
-4.0%
13.4%RM2.88RM1.90n/a13
Apr ’25RM2.37
RM2.32
-2.2%
12.9%RM2.88RM1.90n/a14
Mar ’25RM2.15
RM2.29
+6.3%
12.9%RM2.88RM1.90n/a14
Feb ’25RM2.24
RM2.21
-1.2%
11.2%RM2.88RM1.90n/a15
Jan ’25RM1.88
RM2.09
+11.1%
8.6%RM2.46RM1.70n/a15
Dec ’24RM1.88
RM2.04
+8.5%
9.2%RM2.46RM1.70n/a16
Nov ’24RM1.87
RM1.97
+5.4%
7.4%RM2.18RM1.62n/a16
Oct ’24RM1.86
RM1.90
+2.4%
12.0%RM2.18RM1.25n/a16
Sep ’24RM1.85
RM1.89
+2.2%
11.7%RM2.18RM1.25n/a17
Aug ’24RM1.51
RM1.84
+21.8%
13.2%RM2.18RM1.25n/a17
Jul ’24RM1.49
RM1.82
+22.3%
13.5%RM2.18RM1.25n/a18
Jun ’24RM1.64
RM1.81
+10.3%
13.7%RM2.18RM1.25n/a18
May ’24RM1.56
RM1.80
+15.2%
13.1%RM2.15RM1.25RM2.4218
Apr ’24RM1.60
RM1.80
+12.3%
13.1%RM2.15RM1.25RM2.3718
Mar ’24RM1.64
RM1.80
+9.9%
12.9%RM2.15RM1.25RM2.1518
Feb ’24RM1.56
RM1.83
+17.5%
14.8%RM2.39RM1.25RM2.2418
Jan ’24RM1.60
RM1.83
+14.5%
14.8%RM2.39RM1.25RM1.8818
Dec ’23RM1.65
RM1.83
+11.1%
14.8%RM2.39RM1.25RM1.8818
Nov ’23RM1.59
RM1.86
+17.2%
14.5%RM2.39RM1.25RM1.8718
Oct ’23RM1.67
RM1.92
+14.7%
15.0%RM2.42RM1.25RM1.8618
Sep ’23RM1.69
RM1.92
+13.3%
15.0%RM2.42RM1.25RM1.8518
Aug ’23RM1.78
RM1.94
+8.9%
14.3%RM2.42RM1.25RM1.5118
Jul ’23RM1.69
RM1.93
+14.4%
14.2%RM2.42RM1.25RM1.4918
Jun ’23RM1.79
RM1.93
+8.0%
14.2%RM2.42RM1.25RM1.6418
May ’23RM1.84
RM1.88
+2.1%
16.0%RM2.46RM1.25RM1.5618

Analyst Forecast: Target price is lower than the current share price.


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