Engro Fertilizers Limited

KASE:EFERT Stock Report

Market Cap: PK₨278.7b

Engro Fertilizers Valuation

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

Below Fair Value: EFERT (PKR208.75) is trading below our estimate of fair value (PKR308.92)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for EFERT. This is calculated by dividing EFERT's market cap by their current earnings.
What is EFERT's PE Ratio?
PE Ratio9.6x
EarningsPK₨29.13b
Market CapPK₨278.74b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for EFERT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average4.9x
FFC Fauji Fertilizer
5.9xn/aPK₨414.5b
ENGRO Engro
5.9xn/aPK₨178.8b
FATIMA Fatima Fertilizer
4.5x7.9%PK₨147.5b
FFBL Fauji Fertilizer Bin Qasim
3.4x-52.7%PK₨97.5b
EFERT Engro Fertilizers
9.6x15.9%PK₨278.7b

Price-To-Earnings vs Peers: EFERT is expensive based on its Price-To-Earnings Ratio (9.6x) compared to the peer average (4.9x).

Price to Earnings Ratio vs Industry

How does EFERT's PE Ratio compare vs other companies in the PK Chemicals Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
EFERT 9.6xIndustry Avg. 9.1xNo. of Companies5PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: EFERT is expensive based on its Price-To-Earnings Ratio (9.6x) compared to the PK Chemicals industry average (9.1x).

Price to Earnings Ratio vs Fair Ratio

What is EFERT'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.

EFERT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.6x
Fair PE Ratio7.9x

Price-To-Earnings vs Fair Ratio: EFERT is expensive based on its Price-To-Earnings Ratio (9.6x) compared to the estimated Fair Price-To-Earnings Ratio (7.9x).

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 EFERT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentPK₨208.75
PK₨188.60
-9.7%
9.9%PK₨220.00PK₨165.00n/a5
Nov ’25PK₨194.30
PK₨188.60
-2.9%
9.9%PK₨220.00PK₨165.00n/a5
Oct ’25PK₨190.11
PK₨173.00
-9.0%
7.1%PK₨195.00PK₨159.00n/a5
Sep ’25PK₨161.37
PK₨167.50
+3.8%
3.7%PK₨176.00PK₨159.00n/a4
Aug ’25PK₨167.03
PK₨149.80
-10.3%
16.9%PK₨176.00PK₨103.00n/a5
Jul ’25PK₨170.09
PK₨140.67
-17.3%
15.2%PK₨160.00PK₨103.00n/a6
Jun ’25PK₨160.38
PK₨134.14
-16.4%
19.0%PK₨160.00PK₨95.00n/a7
May ’25PK₨157.80
PK₨134.14
-15.0%
19.0%PK₨160.00PK₨95.00n/a7
Apr ’25PK₨146.37
PK₨121.57
-16.9%
17.3%PK₨160.00PK₨95.00n/a7
Mar ’25PK₨146.65
PK₨119.29
-18.7%
14.5%PK₨144.00PK₨95.00n/a7
Feb ’25PK₨120.46
PK₨118.14
-1.9%
13.4%PK₨144.00PK₨95.00n/a7
Jan ’25PK₨115.62
PK₨101.86
-11.9%
9.3%PK₨121.00PK₨90.00n/a7
Dec ’24PK₨101.53
PK₨98.67
-2.8%
5.9%PK₨107.00PK₨90.00n/a6
Nov ’24PK₨87.93
PK₨98.14
+11.6%
5.6%PK₨107.00PK₨90.00PK₨194.307
Oct ’24PK₨75.92
PK₨94.88
+25.0%
14.8%PK₨110.00PK₨60.00PK₨190.118
Sep ’24PK₨76.96
PK₨94.24
+22.4%
14.7%PK₨110.00PK₨60.00PK₨161.378
Aug ’24PK₨82.94
PK₨93.59
+12.8%
13.9%PK₨110.00PK₨60.00PK₨167.039
Jul ’24PK₨82.53
PK₨91.21
+10.5%
13.8%PK₨107.00PK₨60.00PK₨170.0911
Jun ’24PK₨86.03
PK₨91.21
+6.0%
13.8%PK₨107.00PK₨60.00PK₨160.3811
May ’24PK₨83.98
PK₨91.21
+8.6%
13.8%PK₨107.00PK₨60.00PK₨157.8011
Apr ’24PK₨84.82
PK₨89.76
+5.8%
15.9%PK₨107.00PK₨60.00PK₨146.3711
Mar ’24PK₨84.61
PK₨89.76
+6.1%
15.9%PK₨107.00PK₨60.00PK₨146.6511
Feb ’24PK₨82.02
PK₨90.03
+9.8%
14.8%PK₨107.00PK₨62.30PK₨120.4611
Jan ’24PK₨76.89
PK₨88.99
+15.7%
15.1%PK₨107.00PK₨62.30PK₨115.628
Dec ’23PK₨81.57
PK₨89.24
+9.4%
15.5%PK₨109.00PK₨62.30PK₨101.538
Nov ’23PK₨80.80
PK₨90.40
+11.9%
14.6%PK₨109.00PK₨62.30PK₨87.9310

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

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