2020 Bulkers Valuation

Is 2020 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 2020 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 2020 (NOK136.8) is trading below our estimate of fair value (NOK384.81)

Significantly Below Fair Value: 2020 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2020?

Key metric: As 2020 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 2020. This is calculated by dividing 2020's market cap by their current earnings.
What is 2020's PE Ratio?
PE Ratio	3.3x
Earnings	US$86.00m
Market Cap	US$282.71m

2020 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	2.9x
Enterprise Value/EBITDA	3.5x
PEG Ratio	-0.1x

Price to Earnings Ratio vs Peers

How does 2020's PE Ratio compare to its peers?

The above table shows the PE ratio for 2020 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	10x
BELCO Belships	6.1x	18.9%	NOK 4.6b
FROY Frøy	26.7x	n/a	NOK 6.6b
KCC Klaveness Combination Carriers	4.5x	-17.8%	NOK 4.9b
ODF Odfjell	2.8x	-11.4%	NOK 8.7b
2020 2020 Bulkers	3.3x	-33.7%	NOK 3.1b

Price-To-Earnings vs Peers: 2020 is good value based on its Price-To-Earnings Ratio (3.3x) compared to the peer average (4.5x).

Price to Earnings Ratio vs Industry

How does 2020's PE Ratio compare vs other companies in the European Shipping Industry?

2 Companies	Price / Earnings	Estimated Growth	Market Cap

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 2020 is good value based on its Price-To-Earnings Ratio (3.3x) compared to the European Shipping industry average (7.8x).

Price to Earnings Ratio vs Fair Ratio

What is 2020'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.

2020 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	3.3x
Fair PE Ratio	2.7x

Price-To-Earnings vs Fair Ratio: 2020 is expensive based on its Price-To-Earnings Ratio (3.3x) compared to the estimated Fair Price-To-Earnings Ratio (2.7x).

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 2020 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	NOK 136.80	NOK 172.57 +26.1%	14.3%	NOK 198.24	NOK 125.34	n/a	5
Nov ’25	NOK 132.80	NOK 175.55 +32.2%	14.5%	NOK 201.77	NOK 126.96	n/a	5
Oct ’25	NOK 155.20	NOK 172.34 +11.0%	16.7%	NOK 200.17	NOK 116.86	n/a	5
Sep ’25	NOK 136.70	NOK 169.26 +23.8%	16.7%	NOK 195.76	NOK 115.19	n/a	6
Aug ’25	NOK 146.00	NOK 182.59 +25.1%	11.8%	NOK 202.65	NOK 150.32	n/a	6
Jul ’25	NOK 156.50	NOK 182.72 +16.8%	10.9%	NOK 203.25	NOK 155.48	n/a	6
Jun ’25	NOK 163.50	NOK 171.16 +4.7%	11.2%	NOK 199.98	NOK 147.86	n/a	5
May ’25	NOK 172.60	NOK 171.90 -0.4%	7.5%	NOK 187.86	NOK 156.51	n/a	5
Apr ’25	NOK 149.30	NOK 161.10 +7.9%	12.6%	NOK 177.29	NOK 124.98	n/a	5
Mar ’25	NOK 153.30	NOK 157.80 +2.9%	13.0%	NOK 174.72	NOK 121.81	n/a	5
Feb ’25	NOK 141.00	NOK 148.66 +5.4%	15.0%	NOK 173.90	NOK 121.72	n/a	5
Jan ’25	NOK 121.50	NOK 126.68 +4.3%	8.3%	NOK 142.14	NOK 112.19	n/a	6
Dec ’24	NOK 123.70	NOK 122.28 -1.1%	16.0%	NOK 144.40	NOK 85.42	n/a	6
Nov ’24	NOK 98.75	NOK 133.09 +34.8%	11.5%	NOK 156.85	NOK 110.45	NOK 132.80	5
Oct ’24	NOK 95.85	NOK 129.83 +35.5%	12.3%	NOK 153.22	NOK 106.54	NOK 155.20	5
Sep ’24	NOK 90.65	NOK 138.37 +52.6%	14.8%	NOK 158.34	NOK 104.79	NOK 136.70	4
Aug ’24	NOK 103.40	NOK 144.88 +40.1%	21.3%	NOK 181.62	NOK 98.10	NOK 146.00	4
Jul ’24	NOK 102.00	NOK 144.88 +42.0%	21.3%	NOK 181.62	NOK 98.10	NOK 156.50	4
Jun ’24	NOK 99.25	NOK 144.88 +46.0%	21.3%	NOK 181.62	NOK 98.10	NOK 163.50	4
May ’24	NOK 106.40	NOK 131.79 +23.9%	18.1%	NOK 162.14	NOK 97.53	NOK 172.60	4
Apr ’24	NOK 105.60	NOK 130.34 +23.4%	18.3%	NOK 161.20	NOK 96.51	NOK 149.30	4
Mar ’24	NOK 112.40	NOK 128.89 +14.7%	18.7%	NOK 160.25	NOK 93.48	NOK 153.30	4
Feb ’24	NOK 101.20	NOK 120.06 +18.6%	21.1%	NOK 156.75	NOK 86.76	NOK 141.00	4
Jan ’24	NOK 92.60	NOK 113.07 +22.1%	23.8%	NOK 157.28	NOK 85.50	NOK 121.50	4
Dec ’23	NOK 85.20	NOK 116.93 +37.2%	24.6%	NOK 164.20	NOK 89.26	NOK 123.70	4
Nov ’23	NOK 82.10	NOK 117.28 +42.9%	23.0%	NOK 162.57	NOK 94.40	NOK 98.75	4

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