PPB Group Berhad

KLSE:PPB Stock Report

Market Cap: RM 16.9b

PPB Group Berhad Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Discounted Cash Flow
Simply Wall St
RM 10.69
Fair Value
10.9% overvalued intrinsic discount
5
Number of Analysts

Below Fair Value: PPB (MYR11.86) is trading above our estimate of fair value (MYR10.69)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for PPB. This is calculated by dividing PPB's market cap by their current earnings.
What is PPB's PE Ratio?
PE Ratio13x
EarningsRM 1.30b
Market CapRM 16.87b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PPB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.3x
QL QL Resources Berhad
36.4x6.9%RM 16.7b
NESTLE Nestlé (Malaysia) Berhad
40.1x10.3%RM 21.0b
GCB Guan Chong Berhad
21.8x14.7%RM 5.1b
FFB Farm Fresh Berhad
35x18.5%RM 3.4b
PPB PPB Group Berhad
13x10.8%RM 16.9b

Price-To-Earnings vs Peers: PPB is good value based on its Price-To-Earnings Ratio (13x) compared to the peer average (33.3x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
LAYHONG Lay Hong Berhad
2xn/aUS$56.50m
No more companies available in this PE range
PPB 13.0xIndustry Avg. 12.1xNo. of Companies12PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PPB is expensive based on its Price-To-Earnings Ratio (13x) compared to the MY Food industry average (12.1x).

Price to Earnings Ratio vs Fair Ratio

What is PPB'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.

PPB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13x
Fair PE Ratio18.1x

Price-To-Earnings vs Fair Ratio: PPB is good value based on its Price-To-Earnings Ratio (13x) compared to the estimated Fair Price-To-Earnings Ratio (18.1x).

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 PPB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM 11.86
RM 15.66
+32.0%
8.1%RM 16.65RM 13.18n/a5
Jan ’26RM 12.40
RM 15.66
+26.3%
8.1%RM 16.65RM 13.18n/a5
Dec ’25RM 13.12
RM 15.66
+19.3%
8.1%RM 16.65RM 13.18n/a5
Nov ’25RM 14.00
RM 16.42
+17.3%
6.3%RM 17.50RM 14.47n/a5
Oct ’25RM 14.64
RM 16.42
+12.2%
6.3%RM 17.50RM 14.47n/a5
Sep ’25RM 14.60
RM 16.62
+13.9%
4.0%RM 17.50RM 15.47n/a5
Aug ’25RM 14.84
RM 17.05
+14.9%
6.5%RM 18.80RM 15.47n/a5
Jul ’25RM 14.42
RM 17.05
+18.3%
6.5%RM 18.80RM 15.47n/a5
Jun ’25RM 14.76
RM 16.81
+13.9%
7.2%RM 18.80RM 15.47n/a5
May ’25RM 15.74
RM 17.29
+9.9%
9.8%RM 19.40RM 15.47n/a4
Apr ’25RM 15.84
RM 17.39
+9.8%
8.8%RM 19.40RM 15.47n/a5
Mar ’25RM 15.30
RM 17.19
+12.4%
12.2%RM 19.40RM 13.86n/a5
Feb ’25RM 14.46
RM 17.29
+19.6%
10.9%RM 19.40RM 13.86RM 11.965
Jan ’25RM 14.48
RM 17.29
+19.4%
10.9%RM 19.40RM 13.86RM 12.405
Dec ’24RM 13.90
RM 17.47
+25.7%
11.6%RM 19.40RM 13.86RM 13.125
Nov ’24RM 15.20
RM 17.73
+16.7%
8.9%RM 19.40RM 15.17RM 14.005
Oct ’24RM 15.48
RM 18.13
+17.1%
8.8%RM 19.40RM 15.17RM 14.645
Sep ’24RM 15.76
RM 18.13
+15.1%
8.8%RM 19.40RM 15.17RM 14.605
Aug ’24RM 16.64
RM 19.31
+16.1%
1.4%RM 19.76RM 19.00RM 14.845
Jul ’24RM 15.74
RM 19.31
+22.7%
1.4%RM 19.76RM 19.00RM 14.425
Jun ’24RM 15.90
RM 20.33
+27.9%
9.3%RM 24.10RM 19.10RM 14.765
May ’24RM 16.26
RM 20.32
+25.0%
9.3%RM 24.10RM 19.10RM 15.745
Apr ’24RM 16.56
RM 20.32
+22.7%
9.3%RM 24.10RM 19.10RM 15.845
Mar ’24RM 17.50
RM 20.32
+16.1%
9.3%RM 24.10RM 19.10RM 15.305
Feb ’24RM 17.60
RM 20.36
+15.7%
9.3%RM 24.10RM 19.10RM 14.465
Analyst Price Target
Consensus Narrative from 5 Analysts
RM 15.66
Fair Value
24.2% undervalued intrinsic discount
5
Number of Analysts

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

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/05 19:35
End of Day Share Price 2025/02/05 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.

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 Github.

Analyst Sources

PPB Group Berhad is covered by 10 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Nadia Binti SubhanAffin Hwang Investment Bank
Huey GanAmInvestment Bank Berhad
Jin Wu LowDBS Vickers Research