Nexam Chemical Holding AB (publ)

OM:NEXAM Stock Report

Market Cap: SEK 330.1m

Nexam Chemical Holding Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: NEXAM (SEK4.08) is trading below our estimate of fair value (SEK8.97)

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

Key Valuation Metric

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

Key metric: As NEXAM is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for NEXAM. This is calculated by dividing NEXAM's market cap by their current revenue.
What is NEXAM's PS Ratio?
PS Ratio1.6x
SalesSEK 201.52m
Market CapSEK 330.14m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for NEXAM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.2x
DURC B Duroc
0.2xn/aSEK 676.7m
ARPL Arla Plast
0.8x12.3%SEK 1.0b
CIRCHE CirChem
4xn/aSEK 91.6m
ECO B EcoRub
3.8xn/aSEK 51.9m
NEXAM Nexam Chemical Holding
1.6x13.9%SEK 330.1m

Price-To-Sales vs Peers: NEXAM is good value based on its Price-To-Sales Ratio (1.6x) compared to the peer average (2.2x).

Price to Sales Ratio vs Industry

How does NEXAM's PS Ratio compare vs other companies in the European Chemicals Industry?

24 CompaniesPrice / SalesEstimated GrowthMarket Cap
NEXAM 1.6xIndustry Avg. 1.0xNo. of Companies24PS012345+
24 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: NEXAM is expensive based on its Price-To-Sales Ratio (1.6x) compared to the European Chemicals industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is NEXAM'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.

NEXAM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.6x
Fair PS Ratio1.2x

Price-To-Sales vs Fair Ratio: NEXAM is expensive based on its Price-To-Sales Ratio (1.6x) compared to the estimated Fair Price-To-Sales Ratio (1.2x).

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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