Hexagon Composites ASA

OTCPK:HXGC.F Stock Report

Market Cap: US$863.9m

Hexagon Composites Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: HXGC.F ($4.36) is trading below our estimate of fair value ($19.96)

Significantly Below Fair Value: HXGC.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 HXGC.F?

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

The above table shows the Price to Sales ratio for HXGC.F. This is calculated by dividing HXGC.F's market cap by their current revenue.
What is HXGC.F's PS Ratio?
PS Ratio1.8x
SalesNOK 5.27b
Market CapNOK 9.59b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for HXGC.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.7x
HY Hyster-Yale
0.2x-0.6%US$926.9m
CMCO Columbus McKinnon
1.1x4.1%US$1.1b
GRC Gorman-Rupp
1.6x3.5%US$1.1b
ERII Energy Recovery
8x21.5%US$1.1b
HXGC.F Hexagon Composites
1.8x15.3%US$9.6b

Price-To-Sales vs Peers: HXGC.F is good value based on its Price-To-Sales Ratio (1.8x) compared to the peer average (2.7x).

Price to Sales Ratio vs Industry

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

17 CompaniesPrice / SalesEstimated GrowthMarket Cap
HY Hyster-Yale
0.2x-0.6%US$926.91m
PKOH Park-Ohio Holdings
0.3x3.9%US$440.93m
TWI Titan International
0.2x2.2%US$436.29m
MTW Manitowoc Company
0.2x2.4%US$374.80m
HXGC.F 1.8xIndustry Avg. 1.7xNo. of Companies21PS01.22.43.64.86+
17 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: HXGC.F is expensive based on its Price-To-Sales Ratio (1.8x) compared to the US Machinery industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is HXGC.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.

HXGC.F PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.8x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate HXGC.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?

The above table shows the analyst HXGC.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
US$5.68
0%
18.7%US$7.48US$4.86n/a4
Nov ’25n/a
US$4.95
0%
9.0%US$5.71US$4.57n/a4
Oct ’25US$4.14
US$4.95
+19.7%
9.0%US$5.71US$4.57n/a4
Sep ’25US$3.63
US$4.56
+25.7%
12.4%US$5.35US$3.82n/a4
Aug ’25n/a
US$3.75
0%
6.3%US$4.06US$3.40n/a4
Jul ’25US$2.77
US$3.75
+35.5%
6.3%US$4.06US$3.40n/a4
Mar ’25n/a
US$3.05
0%
3.1%US$3.14US$2.95n/a2
Feb ’25US$2.27
US$3.21
+41.3%
1.5%US$3.26US$3.16n/a2
Jan ’25US$2.75
US$3.34
+21.5%
11.1%US$3.86US$3.03n/a3
Dec ’24n/a
US$3.34
0%
11.1%US$3.86US$3.03n/a3
Nov ’24US$2.30
US$3.60
+56.7%
10.9%US$3.88US$3.05n/a3
Oct ’24US$2.55
US$3.60
+41.3%
10.9%US$3.88US$3.05US$4.143
Sep ’24US$3.50
US$3.35
-4.3%
11.0%US$3.96US$3.02US$3.634
Aug ’24US$2.95
US$3.33
+13.0%
10.1%US$3.76US$2.82n/a4
Jul ’24US$2.40
US$3.24
+34.9%
11.6%US$3.66US$2.75US$2.773
Jun ’24US$2.45
US$3.24
+32.1%
11.6%US$3.66US$2.75US$2.653
May ’24n/a
US$3.87
0%
1.2%US$3.93US$3.84US$1.673
Apr ’24US$3.15
US$3.87
+22.8%
1.2%US$3.93US$3.84US$1.763
Mar ’24US$3.63
US$3.94
+8.6%
1.2%US$4.01US$3.91n/a3
Feb ’24US$3.60
US$3.35
-6.8%
14.6%US$3.99US$2.79US$2.273
Jan ’24n/a
US$3.35
0%
14.6%US$3.99US$2.79US$2.753
Dec ’23US$2.88
US$3.35
+16.5%
14.6%US$3.99US$2.79n/a3
Nov ’23US$2.30
US$3.26
+41.6%
13.8%US$3.87US$2.81US$2.303

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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