This company has been acquired
Aerojet Rocketdyne Holdings Valuation
Is AJRD undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
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 AJRD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: AJRD ($57.99) is trading below our estimate of fair value ($94.41)
Significantly Below Fair Value: AJRD is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for AJRD?
Key metric: As AJRD is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is AJRD's PE Ratio? | |
|---|---|
| PE Ratio | 63.3x |
| Earnings | US$73.80m |
| Market Cap | US$4.67b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.1x |
| Enterprise Value/EBITDA | 18x |
| PEG Ratio | 1.9x |
Price to Earnings Ratio vs Peers
How does AJRD's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 65.7x | ||
PSN Parsons | 131.5x | 64.7% | US$10.6b |
DRS Leonardo DRS | 45x | 20.9% | US$9.1b |
BWXT BWX Technologies | 41.7x | 10.2% | US$11.7b |
HXL Hexcel | 44.6x | 22.9% | US$4.9b |
AJRD Aerojet Rocketdyne Holdings | 63.3x | 33.1% | US$4.7b |
Price-To-Earnings vs Peers: AJRD is expensive based on its Price-To-Earnings Ratio (63.3x) compared to the peer average (27.1x).
Price to Earnings Ratio vs Industry
How does AJRD's PE Ratio compare vs other companies in the US Aerospace & Defense Industry?
| 4 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
CVU CPI Aerostructures | 2.2x | n/a | US$38.09m |
ETCC Environmental Tectonics | 4.7x | n/a | US$30.67m |
AWIN AERWINS Technologies | 0.002x | n/a | US$6.93k |
GIGA.Q Gresham Worldwide | n/a | n/a | US$7.00 |
| 4 Companies | Estimated Growth | Market Cap |
|---|
Price-To-Earnings vs Industry: AJRD is expensive based on its Price-To-Earnings Ratio (63.3x) compared to the US Aerospace & Defense industry average (26.1x)
Price to Earnings Ratio vs Fair Ratio
What is AJRD'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 63.3x |
| Fair PE Ratio | 32.6x |
Price-To-Earnings vs Fair Ratio: AJRD is expensive based on its Price-To-Earnings Ratio (63.3x) compared to the estimated Fair Price-To-Earnings Ratio (32.6x).
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
Stanley Black & Decker
US$13.2b
Provides hand tools, power tools, outdoor products, and related accessories in the United States, Canada, Other Americas, Europe, and Asia.
SWK
US$85.45
7D
-5.2%
1Y
-6.9%
NFI Group
CA$1.8b
Manufactures and sells buses in North America, the United Kingdom, rest of Europe, and the Asia Pacific.
NFYE.F
CA$10.95
7D
-4.1%
1Y
8.8%
NN
US$188.3m
Designs, manufactures, and sells high-precision components and assemblies for various end markets in the United States and internationally.
NNBR
US$3.77
7D
7.4%
1Y
57.1%