GlaxoSmithKline Pakistan Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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

Below Fair Value: GLAXO (PKR353.38) is trading above our estimate of fair value (PKR240.6)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for GLAXO. This is calculated by dividing GLAXO's market cap by their current earnings.
What is GLAXO's PE Ratio?
PE Ratio	25x
Earnings	PK₨4.51b
Market Cap	PK₨102.31b

GLAXO 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	1.7x
Enterprise Value/EBITDA	11.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for GLAXO 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	25.9x
ABOT Abbott Laboratories (Pakistan)	21.2x	n/a	PK₨106.2b
HINOON Highnoon Laboratories	16.2x	n/a	PK₨49.0b
SEARL Searle	42.9x	n/a	PK₨42.2b
AGP AGP	23.1x	n/a	PK₨47.8b
GLAXO GlaxoSmithKline Pakistan	25x	n/a	PK₨112.5b

Price-To-Earnings vs Peers: GLAXO is good value based on its Price-To-Earnings Ratio (25x) compared to the peer average (25.9x).

Price to Earnings Ratio vs Industry

How does GLAXO's PE Ratio compare vs other companies in the Asian Pharmaceuticals Industry?

13 Companies	Price / Earnings	Estimated Growth	Market Cap

13 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: GLAXO is expensive based on its Price-To-Earnings Ratio (25x) compared to the Asian Pharmaceuticals industry average (24.7x).

Price to Earnings Ratio vs Fair Ratio

What is GLAXO'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.

GLAXO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	25x
Fair PE Ratio	n/a

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