SCG Ceramics Valuation

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

COTTO-R (THB0.99) is trading below our estimate of [[fair value]] (THB2.39)

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

Below Fair Value: COTTO-R (THB0.99) is trading below our estimate of fair value (THB2.39)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for COTTO-R?

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

The above table shows the Price to Sales ratio for COTTO-R. This is calculated by dividing COTTO-R's market cap by their current revenue.
What is COTTO-R's PS Ratio?
PS Ratio	0.4x
Sales	฿13.53b
Market Cap	฿5.90b

COTTO-R 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	0.3x
Enterprise Value/EBITDA	4.1x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does COTTO-R's PS Ratio compare to its peers?

The above table shows the PS ratio for COTTO-R 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	1.1x
VNG Vanachai Group	0.4x	n/a	฿5.9b
SKN S.Kijchai Enterprise	1.3x	n/a	฿4.2b
SCGD SCG Decor	0.4x	6.3%	฿9.8b
DCC Dynasty Ceramic	2.4x	5.1%	฿17.1b
COTTO-R SCG Ceramics	0.4x	5.4%	฿5.9b

Price-To-Sales vs Peers: COTTO-R is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (0.9x).

Price to Sales Ratio vs Industry

How does COTTO-R's PS Ratio compare vs other companies in the Asian Building Industry?

16 Companies	Price / Sales	Estimated Growth	Market Cap

16 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: COTTO-R is good value based on its Price-To-Sales Ratio (0.4x) compared to the Asian Building industry average (0.9x).

Price to Sales Ratio vs Fair Ratio

What is COTTO-R'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.

COTTO-R PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.4x
Fair PS Ratio	0.9x

Price-To-Sales vs Fair Ratio: COTTO-R is good value based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (0.9x).

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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