Volvo Car AB (publ.)

OTCPK:VLVO.F Stock Report

Market Cap: US$6.4b

Volvo Car AB (publ.) Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: VLVO.F ($2.25) is trading below our estimate of fair value ($9.82)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for VLVO.F?

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

The above table shows the Price to Earnings ratio for VLVO.F. This is calculated by dividing VLVO.F's market cap by their current earnings.
What is VLVO.F's PE Ratio?
PE Ratio4.4x
EarningsSEK 16.01b
Market CapSEK 69.81b

Price to Earnings Ratio vs Peers

How does VLVO.F's PE Ratio compare to its peers?

The above table shows the PE ratio for VLVO.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43x
THO THOR Industries
22.5x17.9%US$6.0b
WGO Winnebago Industries
131.1x33.9%US$1.7b
F Ford Motor
12.6x19.7%US$44.4b
GM General Motors
5.9x-10.2%US$64.4b
VLVO.F Volvo Car AB (publ.)
4.5x13.4%US$71.8b

Price-To-Earnings vs Peers: VLVO.F is good value based on its Price-To-Earnings Ratio (4.5x) compared to the peer average (44.5x).

Price to Earnings Ratio vs Industry

How does VLVO.F's PE Ratio compare vs other companies in the Global Auto Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
VLVO.F 4.4xIndustry Avg. 15.7xNo. of Companies14PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: VLVO.F is good value based on its Price-To-Earnings Ratio (4.5x) compared to the Global Auto industry average (15.7x).

Price to Earnings Ratio vs Fair Ratio

What is VLVO.F'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.

VLVO.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.4x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate VLVO.F'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?

The above table shows the analyst VLVO.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$2.25
US$2.31
+2.8%
19.5%US$3.26US$1.81n/a10
Nov ’25US$2.27
US$2.56
+12.9%
24.5%US$3.47US$1.88n/a10
Oct ’25US$2.80
US$3.26
+16.4%
15.7%US$4.15US$2.51n/a10
Sep ’25US$2.92
US$3.50
+19.8%
12.4%US$4.22US$2.75n/a10
Aug ’25US$2.93
US$3.33
+13.7%
14.2%US$4.15US$2.58n/a10
Jul ’25US$3.17
US$3.67
+15.8%
13.1%US$4.60US$3.07n/a10
Jun ’25US$3.30
US$3.60
+9.1%
13.1%US$4.41US$2.94n/a11
May ’25US$3.16
US$3.60
+13.9%
13.1%US$4.41US$2.94n/a11
Apr ’25US$3.80
US$3.58
-6.0%
14.0%US$4.54US$2.74n/a11
Mar ’25US$3.45
US$3.63
+5.1%
14.5%US$4.30US$2.77n/a10
Feb ’25US$3.33
US$3.56
+7.0%
17.9%US$4.79US$2.78n/a9
Jan ’25US$3.23
US$4.02
+24.4%
21.0%US$5.53US$3.10n/a9
Dec ’24US$3.20
US$4.07
+27.3%
20.4%US$5.39US$3.12n/a9
Nov ’24US$3.49
US$4.02
+15.2%
19.2%US$5.11US$2.96US$2.279
Oct ’24US$3.86
US$4.16
+8.0%
16.6%US$5.11US$3.05US$2.809
Sep ’24US$3.90
US$4.47
+14.7%
17.6%US$5.89US$3.18US$2.929
Aug ’24US$4.77
US$4.57
-4.1%
18.2%US$6.07US$3.28US$2.939
Jul ’24n/a
US$3.94
0%
15.3%US$4.73US$2.93US$3.179
Jun ’24US$3.39
US$3.94
+16.4%
15.3%US$4.73US$2.93US$3.309
May ’24US$4.11
US$4.21
+2.7%
15.6%US$5.07US$3.02US$3.169
Apr ’24n/a
US$4.66
0%
15.3%US$5.77US$3.46US$3.809
Mar ’24US$4.74
US$4.71
-0.6%
14.8%US$5.75US$3.64US$3.459
Feb ’24n/a
US$4.81
0%
14.9%US$5.81US$3.68US$3.339
Jan ’24n/a
US$4.76
0%
17.3%US$5.75US$3.35US$3.239
Dec ’23n/a
US$4.53
0%
17.7%US$5.51US$3.21US$3.209
Nov ’23n/a
US$4.76
0%
21.7%US$6.67US$3.20US$3.499

Analyst Forecast: Target price is less than 20% higher than the current share price.

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