WMG Holdings Bhd Valuation

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

WMG (MYR0.38) is trading below our estimate of [[fair value]] (MYR3.56)

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

Valuation Score

2/6

Valuation Score 2/6

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

Below Fair Value: WMG (MYR0.38) is trading below our estimate of fair value (MYR3.56)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for WMG. This is calculated by dividing WMG's market cap by their current earnings.
What is WMG's PE Ratio?
PE Ratio	26.9x
Earnings	RM 12.27m
Market Cap	RM 329.52m

WMG 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	3.3x
Enterprise Value/EBITDA	12.1x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WMG 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	18.8x
PANSAR Pansar Berhad	14x	n/a	RM 306.3m
PTT PTT Synergy Group Berhad	22x	n/a	RM 453.8m
PLYTEC PLYTEC Holding Berhad	24.1x	n/a	RM 230.3m
TSA TSA Group Berhad	15.2x	n/a	RM 247.4m
WMG WMG Holdings Bhd	26.9x	n/a	RM 329.5m

Price-To-Earnings vs Peers: WMG is expensive based on its Price-To-Earnings Ratio (26.9x) compared to the peer average (18.8x).

Price to Earnings Ratio vs Industry

How does WMG's PE Ratio compare vs other companies in the MY Trade Distributors Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

No more companies available in this PE range

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: WMG is expensive based on its Price-To-Earnings Ratio (26.9x) compared to the MY Trade Distributors industry average (14.6x).

Price to Earnings Ratio vs Fair Ratio

What is WMG'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.

WMG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	26.9x
Fair PE Ratio	n/a

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

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