PETRONAS Gas Berhad

KLSE:PETGAS Stock Report

Market Cap: RM 34.8b

PETRONAS Gas Berhad Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: PETGAS (MYR17.58) is trading below our estimate of fair value (MYR19.77)

Significantly Below Fair Value: PETGAS is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for PETGAS. This is calculated by dividing PETGAS's market cap by their current earnings.
What is PETGAS's PE Ratio?
PE Ratio18.9x
EarningsRM 1.84b
Market CapRM 34.79b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PETGAS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.8x
GASMSIA Gas Malaysia Berhad
12.2x0.3%RM 4.9b
YTLPOWR YTL Power International Berhad
7.2x-3.3%RM 24.5b
YTL YTL Corporation Berhad
9.4x10.4%RM 20.2b
TENAGA Tenaga Nasional Berhad
22.3x13.1%RM 80.2b
PETGAS PETRONAS Gas Berhad
18.9x3.6%RM 34.8b

Price-To-Earnings vs Peers: PETGAS is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the peer average (12.8x).

Price to Earnings Ratio vs Industry

How does PETGAS's PE Ratio compare vs other companies in the Asian Gas Utilities Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PETGAS 18.9xIndustry Avg. 13.4xNo. of Companies10PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PETGAS is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the Asian Gas Utilities industry average (13.4x).

Price to Earnings Ratio vs Fair Ratio

What is PETGAS'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.

PETGAS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.9x
Fair PE Ratio13.1x

Price-To-Earnings vs Fair Ratio: PETGAS is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the estimated Fair Price-To-Earnings Ratio (13.1x).

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 PETGAS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM 17.58
RM 18.51
+5.3%
6.7%RM 21.20RM 16.52n/a13
Nov ’25RM 17.42
RM 18.49
+6.1%
6.7%RM 21.20RM 16.52n/a13
Oct ’25RM 17.98
RM 18.49
+2.8%
6.7%RM 21.20RM 16.52n/a13
Sep ’25RM 18.28
RM 18.49
+1.1%
6.7%RM 21.20RM 16.52n/a13
Aug ’25RM 17.88
RM 18.49
+3.4%
6.6%RM 20.60RM 16.52n/a12
Jul ’25RM 17.76
RM 18.37
+3.4%
6.8%RM 20.60RM 16.52n/a13
Jun ’25RM 18.26
RM 18.37
+0.6%
6.8%RM 20.60RM 16.52n/a13
May ’25RM 18.00
RM 18.35
+1.9%
6.8%RM 20.60RM 16.52n/a13
Apr ’25RM 18.26
RM 18.35
+0.5%
6.8%RM 20.60RM 16.52n/a13
Mar ’25RM 17.82
RM 18.26
+2.5%
6.8%RM 20.60RM 16.46n/a13
Feb ’25RM 17.74
RM 18.02
+1.6%
7.2%RM 20.60RM 15.98n/a13
Jan ’25RM 17.40
RM 18.02
+3.6%
7.2%RM 20.60RM 15.98n/a13
Dec ’24RM 16.86
RM 18.02
+6.9%
7.2%RM 20.60RM 15.98n/a13
Nov ’24RM 17.08
RM 17.93
+5.0%
7.1%RM 20.60RM 15.98RM 17.4213
Oct ’24RM 16.84
RM 17.93
+6.5%
7.1%RM 20.60RM 15.98RM 17.9813
Sep ’24RM 17.26
RM 17.93
+3.9%
7.1%RM 20.60RM 15.98RM 18.2813
Aug ’24RM 17.12
RM 17.88
+4.4%
7.2%RM 20.60RM 15.98RM 17.8813
Jul ’24RM 16.70
RM 17.88
+7.0%
7.2%RM 20.60RM 15.98RM 17.7613
Jun ’24RM 16.56
RM 17.88
+7.9%
7.2%RM 20.60RM 15.98RM 18.2613
May ’24RM 16.90
RM 17.94
+6.2%
7.0%RM 20.60RM 15.98RM 18.0013
Apr ’24RM 16.48
RM 17.94
+8.9%
7.0%RM 20.60RM 15.98RM 18.2613
Mar ’24RM 16.54
RM 17.85
+7.9%
7.1%RM 20.60RM 15.98RM 17.8212
Feb ’24RM 16.82
RM 17.85
+6.1%
5.9%RM 20.20RM 16.40RM 17.7411
Jan ’24RM 17.12
RM 17.75
+3.7%
5.9%RM 20.20RM 16.40RM 17.4012
Dec ’23RM 16.82
RM 17.86
+6.2%
7.0%RM 20.49RM 16.40RM 16.8612
Nov ’23RM 16.98
RM 17.86
+5.2%
6.5%RM 20.20RM 16.40RM 17.0812

Analyst Forecast: Target price is less than 20% higher than the current share price.

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