Instabank Valuation

Q: What is the Fair Price of INSTA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

INSTA (NOK1.9) is trading below our estimate of [[fair value]] (NOK4.5)

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: INSTA (NOK1.9) is trading below our estimate of fair value (NOK4.5)

Significantly Below Fair Value: INSTA is trading below fair value by more than 20%.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for INSTA. This is calculated by dividing INSTA's market cap by their current earnings.
What is INSTA's PE Ratio?
PE Ratio	7.4x
Earnings	NOK 96.73m
Market Cap	NOK 718.70m

INSTA 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	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	0.4x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for INSTA 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	9.2x
BIEN Bien Sparebank	12.6x	2.7%	NOK 693.0m
SKUE Skue Sparebank	7.5x	21.1%	NOK 591.8m
GRONG Grong Sparebank	9.3x	17.6%	NOK 595.8m
VVL Voss Veksel- og Landmandsbank	7.2x	0.2%	NOK 687.6m
INSTA Instabank	7.4x	18.5%	NOK 718.7m

Price-To-Earnings vs Peers: INSTA is good value based on its Price-To-Earnings Ratio (7.4x) compared to the peer average (9.2x).

Price to Earnings Ratio vs Industry

How does INSTA's PE Ratio compare vs other companies in the NO Banks Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
FFSB Flekkefjord Sparebank	1.4x	4.1%	US$15.03m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: INSTA is good value based on its Price-To-Earnings Ratio (7.4x) compared to the Norwegian Banks industry average (8.3x).

Price to Earnings Ratio vs Fair Ratio

What is INSTA'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.

INSTA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	7.4x
Fair PE Ratio	9.9x

Price-To-Earnings vs Fair Ratio: INSTA is good value based on its Price-To-Earnings Ratio (7.4x) compared to the estimated Fair Price-To-Earnings Ratio (9.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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