Indus Motor Company Limited

KASE:INDU Stock Report

Market Cap: PK₨125.5b

Indus Motor Valuation

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

Below Fair Value: INDU (PKR1599.38) is trading above our estimate of fair value (PKR1323.65)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

INDU 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/Revenue0.3x
Enterprise Value/EBITDA2.5x
PEG Ratio1.5x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for INDU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average27.6x
GHNI Ghandhara Industries
51.3xn/aPK₨10.6b
GAL Ghandhara Automobiles
42.4xn/aPK₨6.8b
ATLH Atlas Honda
8xn/aPK₨59.5b
THALL Thal
8.5xn/aPK₨28.0b
INDU Indus Motor
9.5x6.5%PK₨125.5b

Price-To-Earnings vs Peers: INDU is good value based on its Price-To-Earnings Ratio (9.5x) compared to the peer average (27.6x).


Price to Earnings Ratio vs Industry

How does INDU's PE Ratio compare vs other companies in the Asian Auto Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a9.3%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a9.3%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: INDU is good value based on its Price-To-Earnings Ratio (9.5x) compared to the Asian Auto industry average (19.9x).


Price to Earnings Ratio vs Fair Ratio

What is INDU'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.

INDU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.5x
Fair PE Ratio7.4x

Price-To-Earnings vs Fair Ratio: INDU is expensive based on its Price-To-Earnings Ratio (9.5x) compared to the estimated Fair Price-To-Earnings Ratio (7.4x).


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 INDU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentPK₨1,599.38
PK₨1,568.17
-2.0%
23.4%PK₨1,858.00PK₨810.00n/a6
Apr ’25PK₨1,583.26
PK₨1,534.83
-3.1%
22.9%PK₨1,858.00PK₨810.00n/a6
Mar ’25PK₨1,546.16
PK₨1,537.57
-0.6%
21.1%PK₨1,858.00PK₨810.00n/a7
Feb ’25PK₨1,429.97
PK₨1,442.67
+0.9%
22.4%PK₨1,850.00PK₨810.00n/a6
Jan ’25PK₨1,226.93
PK₨1,350.17
+10.0%
19.4%PK₨1,580.00PK₨810.00n/a6
Dec ’24PK₨1,221.53
PK₨1,286.83
+5.3%
18.9%PK₨1,554.00PK₨810.00n/a6
Nov ’24PK₨1,004.15
PK₨1,284.43
+27.9%
17.5%PK₨1,554.00PK₨810.00n/a7
Oct ’24PK₨895.00
PK₨1,228.14
+37.2%
19.1%PK₨1,554.00PK₨810.00n/a7
Sep ’24PK₨987.71
PK₨1,228.14
+24.3%
19.1%PK₨1,554.00PK₨810.00n/a7
Aug ’24PK₨968.10
PK₨1,149.57
+18.7%
17.2%PK₨1,500.00PK₨840.00n/a7
Jul ’24PK₨943.24
PK₨1,189.88
+26.1%
18.0%PK₨1,500.00PK₨840.00n/a8
Jun ’24PK₨937.05
PK₨1,193.44
+27.4%
16.9%PK₨1,500.00PK₨840.00n/a9
May ’24PK₨969.78
PK₨1,193.44
+23.1%
16.9%PK₨1,500.00PK₨840.00PK₨1,610.009
Apr ’24PK₨886.95
PK₨1,218.46
+37.4%
14.0%PK₨1,500.00PK₨974.00PK₨1,583.269
Mar ’24PK₨883.81
PK₨1,218.46
+37.9%
14.0%PK₨1,500.00PK₨974.00PK₨1,546.169
Feb ’24PK₨840.27
PK₨1,283.56
+52.8%
11.4%PK₨1,500.00PK₨1,000.00PK₨1,429.979
Jan ’24PK₨1,004.92
PK₨1,293.22
+28.7%
10.7%PK₨1,500.00PK₨1,030.00PK₨1,226.939
Dec ’23PK₨984.83
PK₨1,304.11
+32.4%
11.9%PK₨1,570.00PK₨1,030.00PK₨1,221.539
Nov ’23PK₨910.20
PK₨1,425.92
+56.7%
15.1%PK₨1,878.00PK₨1,173.00PK₨1,004.1512
Oct ’23PK₨943.01
PK₨1,531.65
+62.4%
20.1%PK₨1,878.00PK₨739.00PK₨895.0012
Sep ’23PK₨980.22
PK₨1,620.98
+65.4%
12.5%PK₨1,878.00PK₨1,279.00PK₨987.7112
Aug ’23PK₨1,023.90
PK₨1,660.90
+62.2%
10.7%PK₨1,878.00PK₨1,372.00PK₨968.1013
Jul ’23PK₨1,155.08
PK₨1,694.20
+46.7%
9.7%PK₨1,878.00PK₨1,372.00PK₨943.2413
Jun ’23PK₨1,221.36
PK₨1,694.20
+38.7%
9.7%PK₨1,878.00PK₨1,372.00PK₨937.0513
May ’23PK₨1,352.13
PK₨1,707.59
+26.3%
10.3%PK₨1,900.00PK₨1,372.00PK₨969.7813

Analyst Forecast: Target price is lower than the current share price.


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