Garo Aktiebolag Valuation

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

GARO (SEK23.9) is trading below our estimate of [[fair value]] (SEK73.8)

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

Valuation Score

5/6

Valuation Score 5/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: GARO (SEK23.9) is trading below our estimate of fair value (SEK73.8)

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

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for GARO. This is calculated by dividing GARO's market cap by their current preferred multiple.
What is GARO's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	SEK 1.20b

GARO 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	1.1x
Enterprise Value/EBITDA	17.1x
PEG Ratio	6x

Price to Sales Ratio vs Peers

How does GARO's PS Ratio compare to its peers?

The above table shows the PS ratio for GARO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	2.6x
CTEK CTEK	1.6x	5.6%	SEK 1.4b
PSCAND Permascand Top Holding	2.2x	14.8%	SEK 1.0b
PCELL PowerCell Sweden	3.8x	27.8%	SEK 1.2b
PLEJD Plejd	2.7x	n/a	SEK 1.7b
GARO Garo Aktiebolag	0.9x	6.2%	SEK 1.2b

Price-To-Sales vs Peers: GARO is good value based on its Price-To-Sales Ratio (0.9x) compared to the peer average (2.6x).

Price to Earnings Ratio vs Industry

How does GARO's PE Ratio compare vs other companies in the SE Electrical Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	52.3%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	52.3%
	n/a	n/a	n/a

No more companies

Price-To-Sales vs Industry: GARO is good value based on its Price-To-Sales Ratio (0.9x) compared to the European Electrical industry average (1.1x).

Price to Sales Ratio vs Fair Ratio

What is GARO's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GARO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.9x
Fair PS Ratio	1.1x

Price-To-Sales vs Fair Ratio: GARO is good value based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (1.1x).

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 GARO forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	SEK 23.90	SEK 29.00 +21.3%	3.4%	SEK 30.00	SEK 28.00	n/a	2
Jul ’25	SEK 26.55	SEK 29.50 +11.1%	1.7%	SEK 30.00	SEK 29.00	n/a	2
Jun ’25	SEK 31.80	SEK 30.50 -4.1%	1.6%	SEK 31.00	SEK 30.00	n/a	2
May ’25	SEK 31.40	SEK 30.50 -2.9%	1.6%	SEK 31.00	SEK 30.00	n/a	2
Apr ’25	SEK 33.50	SEK 30.50 -9.0%	1.6%	SEK 31.00	SEK 30.00	n/a	2
Mar ’25	SEK 33.04	SEK 42.00 +27.1%	28.6%	SEK 54.00	SEK 30.00	n/a	2
Feb ’25	SEK 28.62	SEK 42.50 +48.5%	27.1%	SEK 54.00	SEK 31.00	n/a	2
Jan ’25	SEK 43.52	SEK 42.50 -2.3%	27.1%	SEK 54.00	SEK 31.00	n/a	2
Dec ’24	SEK 35.56	SEK 42.50 +19.5%	27.1%	SEK 54.00	SEK 31.00	n/a	2
Nov ’24	SEK 33.54	SEK 57.00 +69.9%	5.3%	SEK 60.00	SEK 54.00	n/a	2
Oct ’24	SEK 38.10	SEK 59.50 +56.2%	9.2%	SEK 65.00	SEK 54.00	n/a	2
Sep ’24	SEK 51.30	SEK 59.50 +16.0%	9.2%	SEK 65.00	SEK 54.00	n/a	2
Aug ’24	SEK 58.65	SEK 75.50 +28.7%	7.3%	SEK 81.00	SEK 70.00	SEK 25.40	2
Jul ’24	SEK 62.85	SEK 84.00 +33.7%	3.6%	SEK 87.00	SEK 81.00	SEK 26.55	2
Jun ’24	SEK 68.35	SEK 84.00 +22.9%	3.6%	SEK 87.00	SEK 81.00	SEK 31.80	2
May ’24	SEK 81.35	SEK 97.50 +19.9%	2.6%	SEK 100.00	SEK 95.00	SEK 31.40	2
Apr ’24	SEK 76.55	SEK 97.50 +27.4%	2.6%	SEK 100.00	SEK 95.00	SEK 33.50	2
Mar ’24	SEK 85.00	SEK 101.50 +19.4%	1.5%	SEK 103.00	SEK 100.00	SEK 33.04	2
Feb ’24	SEK 103.90	SEK 116.00 +11.6%	0.9%	SEK 117.00	SEK 115.00	SEK 28.62	2
Jan ’24	SEK 108.60	SEK 128.50 +18.3%	8.9%	SEK 140.00	SEK 117.00	SEK 43.52	2
Dec ’23	SEK 114.90	SEK 128.50 +11.8%	8.9%	SEK 140.00	SEK 117.00	SEK 35.56	2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.