Lighthouse Properties p.l.c.

JSE:LTE Stock Report

Market Cap: R14.2b

Lighthouse Properties Valuation

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

Valuation Score

2/6

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

Below Fair Value: LTE (ZAR7.75) is trading above our estimate of fair value (ZAR5.4)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for LTE. This is calculated by dividing LTE's market cap by their current earnings.
What is LTE's PE Ratio?
PE Ratio1.9x
Earnings€403.31m
Market Cap€749.80m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for LTE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average4.8x
MSP MAS
5.6xn/aR12.7b
FFB Fortress Real Estate Investments
5.3xn/aR23.0b
FFA Fortress Real Estate Investments
5.6xn/aR34.3b
ACS Acsion
2.6xn/aR2.7b
LTE Lighthouse Properties
1.9xn/aR14.2b

Price-To-Earnings vs Peers: LTE is good value based on its Price-To-Earnings Ratio (1.9x) compared to the peer average (4.8x).


Price to Earnings Ratio vs Industry

How does LTE's PE Ratio compare vs other companies in the African Real Estate Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.9.5x21.6%
LTE Lighthouse Properties
1.9xn/aUS$780.80m
LTE 1.9xIndustry Avg. 9.5xNo. of Companies11PE01020304050+
6 CompaniesEstimated GrowthMarket Cap
Industry Avg.9.5x21.6%
LTE Lighthouse Properties
1.9xn/aUS$780.80m
No more companies

Price-To-Earnings vs Industry: LTE is good value based on its Price-To-Earnings Ratio (1.9x) compared to the African Real Estate industry average (9.5x).


Price to Earnings Ratio vs Fair Ratio

What is LTE'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.

LTE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio1.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate LTE's Price-To-Earnings 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.


Discover undervalued companies