Pan African Resources PLC

JSE:PAN Stock Report

Market Cap: R15.3b

Pan African Resources Valuation

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

Valuation Score

6/6

Valuation Score 6/6

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

Below Fair Value: PAN (ZAR7.85) is trading below our estimate of fair value (ZAR16.8)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PAN?

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

The above table shows the Price to Earnings ratio for PAN. This is calculated by dividing PAN's market cap by their current earnings.
What is PAN's PE Ratio?
PE Ratio10.3x
EarningsUS$79.38m
Market CapUS$818.98m

Price to Earnings Ratio vs Peers

How does PAN's PE Ratio compare to its peers?

The above table shows the PE ratio for PAN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.2x
HAR Harmony Gold Mining
11.3x30.2%R97.1b
GFI Gold Fields
18.2x32.8%R227.4b
NPH Northam Platinum Holdings
21.9x31.8%R39.4b
ARI African Rainbow Minerals
9.4x10.8%R29.7b
PAN Pan African Resources
10.3x29.5%R652.6m

Price-To-Earnings vs Peers: PAN is good value based on its Price-To-Earnings Ratio (10.3x) compared to the peer average (15.2x).

Price to Earnings Ratio vs Industry

How does PAN's PE Ratio compare vs other companies in the African Metals and Mining Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
PAN 10.3xIndustry Avg. 11.3xNo. of Companies4PE01224364860+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PAN is good value based on its Price-To-Earnings Ratio (10.3x) compared to the African Metals and Mining industry average (11.3x).

Price to Earnings Ratio vs Fair Ratio

What is PAN'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.

PAN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.3x
Fair PE Ratio12.5x

Price-To-Earnings vs Fair Ratio: PAN is good value based on its Price-To-Earnings Ratio (10.3x) compared to the estimated Fair Price-To-Earnings Ratio (12.5x).

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 PAN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentR7.85
R10.36
+31.9%
1.9%R10.53R10.06n/a4
Dec ’25R8.12
R9.69
+19.4%
5.0%R10.38R9.23n/a4
Nov ’25R8.21
R8.54
+4.1%
7.4%R9.17R7.80n/a4
Oct ’25R7.67
R8.24
+7.4%
7.6%R9.28R7.66n/a4
Sep ’25R7.24
R7.96
+9.9%
8.6%R8.90R7.02n/a4
Aug ’25R6.79
R7.92
+16.6%
8.6%R8.85R6.98n/a4
Jul ’25R6.14
R7.53
+22.6%
10.4%R8.87R7.00n/a4
Jun ’25R6.01
R6.88
+14.5%
10.0%R7.66R5.98n/a4
May ’25R5.71
R6.54
+14.6%
8.3%R7.38R5.95n/a4
Apr ’25R5.39
R6.05
+12.3%
8.1%R6.69R5.49n/a3
Mar ’25R4.82
R5.91
+22.5%
3.9%R6.07R5.58n/a3
Feb ’25R4.32
R5.11
+18.3%
17.6%R5.94R3.80n/a4
Jan ’25R4.09
R5.11
+24.9%
17.6%R5.94R3.80n/a4
Dec ’24R4.13
R5.30
+28.3%
16.8%R5.89R3.77R8.124
Nov ’24R3.62
R5.30
+46.4%
16.8%R5.89R3.77R8.214
Oct ’24R3.35
R5.30
+58.2%
16.8%R5.89R3.77R7.674
Sep ’24R3.22
R5.30
+64.6%
16.8%R5.89R3.77R7.244
Aug ’24R3.34
R5.30
+58.7%
16.8%R5.89R3.77R6.794
Jul ’24R3.03
R5.83
+92.4%
5.1%R6.07R5.34R6.144
Jun ’24R3.49
R5.95
+70.5%
7.4%R6.56R5.34R6.014
May ’24R4.11
R5.82
+41.6%
16.1%R7.39R4.92R5.714
Apr ’24R3.68
R5.63
+53.0%
18.5%R7.29R4.42R5.394
Mar ’24R3.13
R5.45
+74.0%
17.1%R6.90R4.31R4.824
Feb ’24R3.57
R5.43
+52.1%
16.8%R6.82R4.26R4.324
Jan ’24R3.35
R5.01
+49.6%
10.7%R5.58R4.13R4.094
Dec ’23R3.75
R5.07
+35.2%
13.2%R5.82R4.02R4.134

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/25 20:10
End of Day Share Price 2024/12/24 00:00
Earnings2024/06/30
Annual Earnings2024/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Pan African Resources PLC is covered by 20 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Herbert KharivheAbsa Bank Limited
Richard HatchBerenberg
Brian QuastBMO Capital Markets Equity Research