Corporacion Aceros Arequipa Valuation

Is CORAREC1 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

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 CORAREC1 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CORAREC1 (PEN1.7) is trading below our estimate of fair value (PEN4.81)

Significantly Below Fair Value: CORAREC1 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CORAREC1?

Key metric: As CORAREC1 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for CORAREC1. This is calculated by dividing CORAREC1's market cap by their current earnings.
What is CORAREC1's PE Ratio?
PE Ratio	6.1x
Earnings	S/176.60m
Market Cap	S/1.70b

CORAREC1 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	0.8x
Enterprise Value/EBITDA	6.2x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does CORAREC1's PE Ratio compare to its peers?

The above table shows the PE ratio for CORAREC1 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	8.8x
SIDERC1 Empresa Siderúrgica del PerúA	6.8x	n/a	S/1.3b
SHPC1 Shougang Hierro Perua	7.2x	n/a	S/17.8b
VOLCABC1 Volcan Compañía MineraA	7.2x	23.3%	S/1.4b
NEXAPEC1 Nexa Resources PerúA	14.2x	n/a	S/2.0b
CORAREC1 Corporacion Aceros Arequipa	6.1x	n/a	S/1.7b

Price-To-Earnings vs Peers: CORAREC1 is good value based on its Price-To-Earnings Ratio (6.1x) compared to the peer average (8.8x).

Price to Earnings Ratio vs Industry

How does CORAREC1's PE Ratio compare vs other companies in the South American Metals and Mining Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: CORAREC1 is good value based on its Price-To-Earnings Ratio (6.1x) compared to the South American Metals and Mining industry average (8.4x).

Price to Earnings Ratio vs Fair Ratio

What is CORAREC1'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.

CORAREC1 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate CORAREC1's Price-To-Earnings Fair Ratio for valuation analysis.

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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