Tenaga Nasional Berhad Valuation

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

Below Fair Value: TENAGA (MYR13.48) is trading above our estimate of fair value (MYR13.26)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for TENAGA. This is calculated by dividing TENAGA's market cap by their current earnings.
What is TENAGA's PE Ratio?
PE Ratio	18.1x
Earnings	RM 4.33b
Market Cap	RM 78.36b

TENAGA 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	2.3x
Enterprise Value/EBITDA	9.8x
PEG Ratio	2.1x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for TENAGA 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	14.9x
PETGAS PETRONAS Gas Berhad	19x	3.3%	RM 35.3b
YTLPOWR YTL Power International Berhad	9.4x	1.5%	RM 28.3b
YTL YTL Corporation Berhad	11.4x	10.1%	RM 22.3b
5110 Saudi Electricity	19.8x	28.8%	ر.س69.8b
TENAGA Tenaga Nasional Berhad	18.1x	8.5%	RM 78.4b

Price-To-Earnings vs Peers: TENAGA is expensive based on its Price-To-Earnings Ratio (18.1x) compared to the peer average (14.9x).

Price to Earnings Ratio vs Industry

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

4 Companies	Price / Earnings	Estimated Growth	Market Cap

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: TENAGA is expensive based on its Price-To-Earnings Ratio (18.1x) compared to the Asian Electric Utilities industry average (17.2x).

Price to Earnings Ratio vs Fair Ratio

What is TENAGA'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.

TENAGA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	18.1x
Fair PE Ratio	14.9x

Price-To-Earnings vs Fair Ratio: TENAGA is expensive based on its Price-To-Earnings Ratio (18.1x) compared to the estimated Fair Price-To-Earnings Ratio (14.9x).

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 TENAGA forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	RM 13.48	RM 16.21 +20.2%	13.0%	RM 20.60	RM 12.00	n/a	19
Nov ’25	RM 13.90	RM 15.47 +11.3%	18.3%	RM 20.60	RM 7.90	n/a	18
Oct ’25	RM 14.40	RM 15.78 +9.6%	17.0%	RM 20.60	RM 7.90	n/a	18
Sep ’25	RM 14.64	RM 15.61 +6.7%	12.8%	RM 20.49	RM 11.52	n/a	17
Aug ’25	RM 14.10	RM 15.25 +8.1%	13.7%	RM 20.49	RM 11.52	n/a	18
Jul ’25	RM 14.00	RM 14.61 +4.4%	12.0%	RM 18.30	RM 11.52	n/a	18
Jun ’25	RM 13.04	RM 12.75 -2.3%	17.7%	RM 17.21	RM 7.90	n/a	19
May ’25	RM 11.96	RM 12.34 +3.1%	15.2%	RM 17.21	RM 7.90	n/a	19
Apr ’25	RM 11.38	RM 12.29 +8.0%	15.2%	RM 17.21	RM 7.90	n/a	19
Mar ’25	RM 11.30	RM 11.78 +4.2%	10.0%	RM 13.24	RM 7.90	n/a	19
Feb ’25	RM 10.72	RM 11.40 +6.3%	9.8%	RM 13.24	RM 7.90	n/a	19
Jan ’25	RM 10.04	RM 11.32 +12.7%	9.0%	RM 12.60	RM 7.90	n/a	19
Dec ’24	RM 10.02	RM 11.32 +13.0%	9.0%	RM 12.60	RM 7.90	RM 13.66	19
Nov ’24	RM 9.85	RM 11.36 +15.3%	9.3%	RM 12.60	RM 7.90	RM 13.90	19
Oct ’24	RM 9.99	RM 11.36 +13.7%	9.3%	RM 12.60	RM 7.90	RM 14.40	19
Sep ’24	RM 9.92	RM 10.87 +9.5%	11.9%	RM 12.80	RM 7.90	RM 14.64	20
Aug ’24	RM 9.55	RM 10.78 +12.9%	13.0%	RM 12.80	RM 7.90	RM 14.10	19
Jul ’24	RM 9.05	RM 10.30 +13.8%	12.5%	RM 12.42	RM 7.90	RM 14.00	19
Jun ’24	RM 9.46	RM 10.30 +8.9%	12.5%	RM 12.42	RM 7.90	RM 13.04	19
May ’24	RM 8.90	RM 10.19 +14.5%	14.5%	RM 13.60	RM 7.60	RM 11.96	19
Apr ’24	RM 9.23	RM 10.19 +10.4%	14.5%	RM 13.60	RM 7.60	RM 11.38	19
Mar ’24	RM 9.28	RM 10.00 +7.8%	16.7%	RM 13.60	RM 6.90	RM 11.30	19
Feb ’24	RM 9.42	RM 9.68 +2.8%	18.4%	RM 13.60	RM 6.90	RM 10.72	17
Jan ’24	RM 9.63	RM 9.88 +2.6%	20.6%	RM 14.20	RM 6.90	RM 10.04	18
Dec ’23	RM 9.50	RM 9.57 +0.7%	22.6%	RM 14.20	RM 6.90	RM 10.02	18

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