Dangote Cement Plc

NGSE:DANGCEM Stock Report

Market Cap: ₦8.0t

Dangote Cement Valuation

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

Below Fair Value: DANGCEM (NGN478.8) is trading above our estimate of fair value (NGN390.85)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for DANGCEM. This is calculated by dividing DANGCEM's market cap by their current earnings.
What is DANGCEM's PE Ratio?
PE Ratio17.8x
Earnings₦451.57b
Market Cap₦8.02t

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for DANGCEM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average37.7x
BUACEMENT BUA Cement
75.9x48.9%₦3.2t
WAPCO Lafarge Africa
12.9x21.9%₦896.4b
USLM United States Lime & Minerals
43.3xn/aUS$4.0b
ACC ACC
18.6x12.9%₹380.7b
DANGCEM Dangote Cement
17.8x32.7%₦8.0t

Price-To-Earnings vs Peers: DANGCEM is good value based on its Price-To-Earnings Ratio (17.8x) compared to the peer average (37.2x).

Price to Earnings Ratio vs Industry

How does DANGCEM's PE Ratio compare vs other companies in the Global Basic Materials Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
DANGCEM 17.8xIndustry Avg. 16.3xNo. of Companies47PE01224364860+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DANGCEM is expensive based on its Price-To-Earnings Ratio (17.8x) compared to the Global Basic Materials industry average (16.4x).

Price to Earnings Ratio vs Fair Ratio

What is DANGCEM'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.

DANGCEM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.8x
Fair PE Ratio23.7x

Price-To-Earnings vs Fair Ratio: DANGCEM is good value based on its Price-To-Earnings Ratio (17.8x) compared to the estimated Fair Price-To-Earnings Ratio (23.7x).

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 DANGCEM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₦478.80
₦521.89
+9.0%
14.5%₦650.00₦433.81n/a6
Nov ’25₦478.80
₦547.31
+14.3%
11.7%₦650.00₦447.87n/a6
Oct ’25₦532.00
₦547.31
+2.9%
11.7%₦650.00₦447.87n/a6
Sep ’25₦532.00
₦547.31
+2.9%
11.7%₦650.00₦447.87n/a6
Aug ’25₦591.10
₦497.71
-15.8%
22.6%₦650.00₦285.00n/a6
Jul ’25₦656.70
₦485.54
-26.1%
24.4%₦650.00₦285.00n/a5
Jun ’25₦656.70
₦479.36
-27.0%
24.2%₦650.00₦285.00n/a5
May ’25₦656.70
₦461.20
-29.8%
26.5%₦650.00₦285.00n/a5
Apr ’25₦686.70
₦400.97
-41.6%
19.8%₦504.90₦285.00n/a4
Mar ’25₦686.70
₦379.47
-44.7%
15.5%₦450.00₦285.00n/a5
Feb ’25₦763.00
₦379.47
-50.3%
15.5%₦450.00₦285.00n/a5
Jan ’25₦319.90
₦379.47
+18.6%
15.5%₦450.00₦285.00n/a5
Dec ’24₦320.00
₦380.05
+18.8%
15.5%₦450.00₦285.00n/a5
Nov ’24₦328.00
₦373.87
+14.0%
14.8%₦450.00₦285.00₦478.806
Oct ’24₦340.00
₦370.94
+9.1%
16.3%₦450.00₦285.00₦532.005
Sep ’24₦369.80
₦370.94
+0.3%
16.3%₦450.00₦285.00₦532.005
Aug ’24₦352.00
₦329.42
-6.4%
7.1%₦348.34₦285.00₦591.105
Jul ’24₦285.00
₦329.42
+15.6%
7.1%₦348.34₦285.00₦656.705
Jun ’24₦290.00
₦329.42
+13.6%
7.1%₦348.34₦285.00₦656.705
May ’24₦270.00
₦329.42
+22.0%
7.1%₦348.34₦285.00₦656.705
Apr ’24₦270.00
₦327.77
+21.4%
6.7%₦348.34₦292.00₦686.704
Mar ’24₦278.00
₦299.14
+7.6%
8.3%₦327.54₦262.00₦686.704
Feb ’24₦266.90
₦299.14
+12.1%
8.3%₦327.54₦262.00₦763.004
Jan ’24₦261.00
₦304.86
+16.8%
11.5%₦358.43₦262.00₦319.904
Dec ’23₦262.30
₦311.58
+18.8%
10.9%₦358.43₦262.00₦320.005
Nov ’23₦220.50
₦333.06
+51.0%
6.1%₦358.43₦298.00₦328.005

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

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