Capitec Bank Holdings Valuation

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

CKHG.Y ($89.95) is trading above our estimate of [[fair value]] ($57.45)

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: CKHG.Y ($89.95) is trading above our estimate of fair value ($57.45)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CKHG.Y?

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

The above table shows the Price to Earnings ratio for CKHG.Y. This is calculated by dividing CKHG.Y's market cap by their current earnings.
What is CKHG.Y's PE Ratio?
PE Ratio	31.7x
Earnings	R12.29b
Market Cap	R389.08b

CKHG.Y 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	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	1.9x

Price to Earnings Ratio vs Peers

How does CKHG.Y's PE Ratio compare to its peers?

The above table shows the PE ratio for CKHG.Y 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	15.3x
BAP Credicorp	11.1x	11.8%	US$15.2b
FITB Fifth Third Bancorp	15.7x	8.3%	US$32.5b
CMA Comerica	17.9x	10.8%	US$9.6b
USB U.S. Bancorp	16.4x	11.3%	US$83.7b
CKHG.Y Capitec Bank Holdings	31.7x	16.3%	US$389.1b

Price-To-Earnings vs Peers: CKHG.Y is expensive based on its Price-To-Earnings Ratio (31.7x) compared to the peer average (15.3x).

Price to Earnings Ratio vs Industry

How does CKHG.Y's PE Ratio compare vs other companies in the US Banks Industry?

4 Companies	Price / Earnings	Estimated Growth	Market Cap
FRCB First Republic Bank	0.02x	n/a	US$27.98m
BKGM BankGuam Holding	1x	n/a	US$18.48m
SBNY Signature Bank	0.002x	n/a	US$2.18m
BCBH.F Caribbean Investment Holdings	0.00001x	n/a	US$132.00

No more companies available in this PE range

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: CKHG.Y is expensive based on its Price-To-Earnings Ratio (31.7x) compared to the US Banks industry average (13.3x).

Price to Earnings Ratio vs Fair Ratio

What is CKHG.Y'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.

CKHG.Y PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	31.7x
Fair PE Ratio	18.3x

Price-To-Earnings vs Fair Ratio: CKHG.Y is expensive based on its Price-To-Earnings Ratio (31.7x) compared to the estimated Fair Price-To-Earnings Ratio (18.3x).

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.

Discover undervalued companies

National Bank of Greece

€6.4b

Provides financial products and services primarily in Greece, Cyprus, North Macedonia, Romania, Bulgaria, Luxembourg, the Netherlands, and the United Kingdom.

NBGI.F

€7.25

-4.6%

7.4%

BNP Paribas

€63.5b

Provides various banking and financial products and services in Europe, the Middle East, Africa, the Americas, and the Asia Pacific.

BNPQ.F

€58.62

-7.4%

-3.0%

Crédit Agricole

€38.6b

Provides retail, corporate, insurance, and investment banking products and services in France and internationally.

CRAR.F

€13.78

-0.5%

5.5%