Leong Hup International Berhad

KLSE:LHI Stock Report

Market Cap: RM 2.2b

Leong Hup International Berhad Valuation

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

Below Fair Value: LHI (MYR0.6) is trading above our estimate of fair value (MYR0.42)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for LHI. This is calculated by dividing LHI's market cap by their current earnings.
What is LHI's PE Ratio?
PE Ratio5.9x
EarningsRM 369.69m
Market CapRM 2.17b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for LHI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.3x
DLADY Dutch Lady Milk Industries Berhad
21.8x16.7%RM 1.9b
FFB Farm Fresh Berhad
35.3x18.5%RM 3.4b
HUPSENG Hup Seng Industries Berhad
17.8x6.5%RM 960.0m
AJI Ajinomoto (Malaysia) Berhad
2.2xn/aRM 926.6m
LHI Leong Hup International Berhad
5.9x-2.4%RM 2.2b

Price-To-Earnings vs Peers: LHI is good value based on its Price-To-Earnings Ratio (5.9x) compared to the peer average (19.3x).


Price to Earnings Ratio vs Industry

How does LHI's PE Ratio compare vs other companies in the MY Food Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
LHI 5.9xIndustry Avg. 11.6xNo. of Companies11PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LHI is good value based on its Price-To-Earnings Ratio (5.9x) compared to the MY Food industry average (11.6x).


Price to Earnings Ratio vs Fair Ratio

What is LHI'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.

LHI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.9x
Fair PE Ratio13.2x

Price-To-Earnings vs Fair Ratio: LHI is good value based on its Price-To-Earnings Ratio (5.9x) compared to the estimated Fair Price-To-Earnings Ratio (13.2x).


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 LHI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM 0.59
RM 0.88
+47.1%
5.7%RM 0.95RM 0.79n/a6
Dec ’25RM 0.66
RM 0.88
+33.6%
5.7%RM 0.95RM 0.79n/a6
Nov ’25RM 0.68
RM 0.83
+23.5%
7.2%RM 0.95RM 0.76n/a6
Oct ’25RM 0.74
RM 0.83
+11.2%
7.2%RM 0.95RM 0.76n/a6
Sep ’25RM 0.63
RM 0.83
+32.5%
7.2%RM 0.95RM 0.76n/a6
Aug ’25RM 0.62
RM 0.78
+26.1%
10.8%RM 0.95RM 0.70n/a6
Jul ’25RM 0.63
RM 0.78
+25.1%
10.8%RM 0.95RM 0.70n/a6
Jun ’25RM 0.56
RM 0.78
+39.6%
10.8%RM 0.95RM 0.70n/a6
May ’25RM 0.58
RM 0.82
+40.8%
12.2%RM 0.95RM 0.67n/a6
Apr ’25RM 0.59
RM 0.82
+37.3%
12.2%RM 0.95RM 0.67n/a6
Mar ’25RM 0.62
RM 0.82
+31.7%
12.2%RM 0.95RM 0.67n/a6
Feb ’25RM 0.56
RM 0.79
+41.4%
11.2%RM 0.95RM 0.67n/a6
Jan ’25RM 0.56
RM 0.80
+41.0%
12.2%RM 0.95RM 0.67n/a6
Dec ’24RM 0.65
RM 0.82
+27.4%
9.6%RM 0.95RM 0.74RM 0.666
Nov ’24RM 0.62
RM 0.71
+15.3%
17.9%RM 0.89RM 0.50RM 0.686
Oct ’24RM 0.55
RM 0.65
+18.5%
15.8%RM 0.79RM 0.50RM 0.746
Sep ’24RM 0.56
RM 0.65
+17.4%
15.8%RM 0.79RM 0.50RM 0.636
Aug ’24RM 0.52
RM 0.60
+16.0%
16.1%RM 0.79RM 0.50RM 0.626
Jul ’24RM 0.50
RM 0.66
+31.1%
23.9%RM 0.97RM 0.50RM 0.637
Jun ’24RM 0.51
RM 0.71
+41.2%
22.8%RM 0.97RM 0.50RM 0.567
May ’24RM 0.54
RM 0.82
+53.5%
18.9%RM 1.00RM 0.60RM 0.587
Apr ’24RM 0.53
RM 0.82
+56.5%
18.9%RM 1.00RM 0.60RM 0.597
Mar ’24RM 0.48
RM 0.81
+66.4%
18.8%RM 1.00RM 0.60RM 0.627
Feb ’24RM 0.49
RM 0.70
+40.8%
17.0%RM 0.90RM 0.53RM 0.567
Jan ’24RM 0.49
RM 0.70
+40.8%
17.0%RM 0.90RM 0.53RM 0.567
Dec ’23RM 0.53
RM 0.65
+22.6%
20.5%RM 0.90RM 0.47RM 0.657

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/21 22:55
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Leong Hup International Berhad is covered by 9 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jia Hui TanAmInvestment Bank Berhad
Joanna CheahCredit Suisse
Wen ChyeHong Leong Investment Bank Berhad