Elkem Valuation
Is ELK undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
6/6Valuation Score 6/6
Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of ELK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: ELK (NOK18.22) is trading below our estimate of fair value (NOK45.07)
Significantly Below Fair Value: ELK is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for ELK?
Key metric: As ELK is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.
| What is ELK's PS Ratio? | |
|---|---|
| PS Ratio | 0.4x |
| Sales | NOK 31.76b |
| Market Cap | NOK 11.55b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 0.7x |
| Enterprise Value/EBITDA | 7.4x |
| PEG Ratio | 3.1x |
Price to Sales Ratio vs Peers
How does ELK's PS Ratio compare to its peers?
| Company | Forward PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 4.9x | ||
BRG Borregaard | 2.5x | 6.8% | NOK 18.3b |
TEKNA Tekna Holding | 1.5x | n/a | NOK 457.6m |
ABTEC Aqua Bio Technology | 14.7x | n/a | NOK 203.5m |
ELO Elopak | 0.9x | 5.8% | NOK 12.0b |
ELK Elkem | 0.4x | 10.8% | NOK 11.6b |
Price-To-Sales vs Peers: ELK is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (4.9x).
Price to Sales Ratio vs Industry
How does ELK's PS Ratio compare vs other companies in the European Chemicals Industry?
| 27 Companies | Price / Sales | Estimated Growth | Market Cap |
|---|---|---|---|
| 27 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Sales vs Industry: ELK is good value based on its Price-To-Sales Ratio (0.4x) compared to the European Chemicals industry average (1x).
Price to Sales Ratio vs Fair Ratio
What is ELK's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 0.4x |
| Fair PS Ratio | 1.1x |
Price-To-Sales vs Fair Ratio: ELK is good value based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (1.1x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | NOK 18.22 | NOK 23.30 +27.9% | 13.4% | NOK 28.00 | NOK 20.00 | n/a | 5 |
| Nov ’25 | NOK 17.75 | NOK 23.92 +34.7% | 13.2% | NOK 28.00 | NOK 20.00 | n/a | 6 |
| Oct ’25 | NOK 20.48 | NOK 24.92 +21.7% | 14.2% | NOK 30.00 | NOK 21.00 | n/a | 6 |
| Sep ’25 | NOK 20.06 | NOK 26.00 +29.6% | 11.7% | NOK 30.00 | NOK 22.00 | n/a | 5 |
| Aug ’25 | NOK 22.78 | NOK 26.00 +14.1% | 11.7% | NOK 30.00 | NOK 22.00 | n/a | 5 |
| Jul ’25 | NOK 20.48 | NOK 24.50 +19.6% | 13.1% | NOK 28.00 | NOK 20.00 | n/a | 4 |
| Jun ’25 | NOK 21.76 | NOK 25.60 +17.6% | 14.1% | NOK 30.00 | NOK 20.00 | n/a | 5 |
| May ’25 | NOK 19.52 | NOK 25.60 +31.1% | 14.1% | NOK 30.00 | NOK 20.00 | n/a | 5 |
| Apr ’25 | NOK 21.32 | NOK 25.50 +19.6% | 14.5% | NOK 30.00 | NOK 20.00 | n/a | 5 |
| Mar ’25 | NOK 21.78 | NOK 25.08 +15.2% | 13.9% | NOK 30.00 | NOK 20.00 | n/a | 6 |
| Feb ’25 | NOK 22.08 | NOK 25.08 +13.6% | 11.9% | NOK 30.00 | NOK 22.00 | n/a | 6 |
| Jan ’25 | NOK 21.16 | NOK 21.80 +3.0% | 12.8% | NOK 25.00 | NOK 18.00 | n/a | 5 |
| Dec ’24 | NOK 17.60 | NOK 21.80 +23.9% | 12.8% | NOK 25.00 | NOK 18.00 | n/a | 5 |
| Nov ’24 | NOK 17.48 | NOK 24.80 +41.9% | 23.1% | NOK 35.00 | NOK 18.00 | NOK 17.75 | 5 |
| Oct ’24 | NOK 21.68 | NOK 29.00 +33.8% | 16.9% | NOK 35.00 | NOK 25.00 | NOK 20.48 | 5 |
| Sep ’24 | NOK 22.20 | NOK 29.80 +34.2% | 15.1% | NOK 35.00 | NOK 25.00 | NOK 20.06 | 5 |
| Aug ’24 | NOK 23.74 | NOK 33.33 +40.4% | 20.6% | NOK 45.00 | NOK 25.00 | NOK 22.78 | 6 |
| Jul ’24 | NOK 24.84 | NOK 39.33 +58.3% | 20.4% | NOK 50.00 | NOK 27.00 | NOK 20.48 | 6 |
| Jun ’24 | NOK 26.26 | NOK 41.83 +59.3% | 15.0% | NOK 50.00 | NOK 31.00 | NOK 21.76 | 6 |
| May ’24 | NOK 36.00 | NOK 44.33 +23.1% | 11.7% | NOK 50.00 | NOK 37.00 | NOK 19.52 | 6 |
| Apr ’24 | NOK 35.42 | NOK 44.83 +26.6% | 13.0% | NOK 50.00 | NOK 37.00 | NOK 21.32 | 6 |
| Mar ’24 | NOK 39.78 | NOK 45.33 +14.0% | 13.1% | NOK 50.00 | NOK 37.00 | NOK 21.78 | 6 |
| Feb ’24 | NOK 36.16 | NOK 42.83 +18.5% | 15.3% | NOK 50.00 | NOK 35.00 | NOK 22.08 | 6 |
| Jan ’24 | NOK 35.20 | NOK 46.40 +31.8% | 14.6% | NOK 55.00 | NOK 37.00 | NOK 21.16 | 5 |
| Dec ’23 | NOK 35.24 | NOK 46.40 +31.7% | 14.6% | NOK 55.00 | NOK 37.00 | NOK 17.60 | 5 |
| Nov ’23 | NOK 33.84 | NOK 47.60 +40.7% | 11.3% | NOK 55.00 | NOK 40.00 | NOK 17.48 | 5 |
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.