AJ Lucas Group Limited

OTCPK:AJLG.F Stock Report

Market Cap: US$7.2m

AJ Lucas Group Valuation

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

Below Fair Value: AJLG.F ($0) is trading below our estimate of fair value ($0.07)

Significantly Below Fair Value: AJLG.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 AJLG.F?

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

The above table shows the Price to Sales ratio for AJLG.F. This is calculated by dividing AJLG.F's market cap by their current revenue.
What is AJLG.F's PS Ratio?
PS Ratio0.07x
SalesAU$159.11m
Market CapAU$11.01m

Price to Sales Ratio vs Peers

How does AJLG.F's PS Ratio compare to its peers?

The above table shows the PS ratio for AJLG.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average17x
LNTO Lelantos Holdings
63.9xn/aUS$4.0m
SKK SKK Holdings
2.3xn/aUS$28.8m
NCRA Nocera
0.7xn/aUS$14.0m
FGL Founder Group
1.2xn/aUS$37.2m
AJLG.F AJ Lucas Group
0.07xn/aUS$11.0m

Price-To-Sales vs Peers: AJLG.F is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (17x).

Price to Sales Ratio vs Industry

How does AJLG.F's PS Ratio compare vs other companies in the US Construction Industry?

9 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.1.2x8.4%
AJLG.F AJ Lucas Group
 0.07xn/aUS$7.16m
SLND Southland Holdings
0.1x3.3%US$151.05m
VATE INNOVATE
0.06xn/aUS$79.44m
AJLG.F 0.1xIndustry Avg. 1.2xNo. of Companies8PS012345+
9 CompaniesEstimated GrowthMarket Cap
Industry Avg.1.2x26.4%
AJLG.F AJ Lucas Group
 0.07xn/aUS$7.16m
No more companies

Price-To-Sales vs Industry: AJLG.F is good value based on its Price-To-Sales Ratio (0.1x) compared to the US Construction industry average (1.2x).

Price to Sales Ratio vs Fair Ratio

What is AJLG.F'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.

AJLG.F PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.07x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate AJLG.F's Price-To-Sales 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?

Analyst Forecast: Insufficient data to show price forecast.

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