Nestlé Pakistan Valuation

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

NESTLE (PKR6632.87) is trading above our estimate of [[fair value]] (PKR2319.96)

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: NESTLE (PKR6632.87) is trading above our estimate of fair value (PKR2319.96)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for NESTLE. This is calculated by dividing NESTLE's market cap by their current earnings.
What is NESTLE's PE Ratio?
PE Ratio	23.2x
Earnings	PK₨12.99b
Market Cap	PK₨300.80b

NESTLE 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	1.6x
Enterprise Value/EBITDA	9.8x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NESTLE 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	20.7x
UPFL Unilever Pakistan Foods	11.9x	n/a	PK₨126.1b
RMPL Rafhan Maize Products	10.7x	n/a	PK₨74.2b
ISIL Ismail Industries	27.1x	n/a	PK₨106.2b
FCEPL FrieslandCampina Engro Pakistan	32.9x	n/a	PK₨64.3b
NESTLE Nestlé Pakistan	23.2x	n/a	PK₨300.8b

Price-To-Earnings vs Peers: NESTLE is expensive based on its Price-To-Earnings Ratio (23.2x) compared to the peer average (20.7x).

Price to Earnings Ratio vs Industry

How does NESTLE's PE Ratio compare vs other companies in the PK Food Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

No more companies available in this PE range

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: NESTLE is expensive based on its Price-To-Earnings Ratio (23.2x) compared to the PK Food industry average (8.3x).

Price to Earnings Ratio vs Fair Ratio

What is NESTLE'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.

NESTLE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	23.2x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate NESTLE'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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