Prosus Valuation

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

Below Fair Value: PRX (ZAR664.04) is trading above our estimate of fair value (ZAR236.49)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

PRX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue14x
Enterprise Value/EBITDA-188.3x
PEG Ratio-0.5x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PRX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.3x
NPN Naspers
8.2x-12.7%R664.6b
WHL Woolworths Holdings
14.9x11.2%R54.5b
WES Wesfarmers
30.9x8.9%AU$77.5b
JD JD.com
15.1x12.6%US$50.3b
PRX Prosus
8.4x-16.1%R82.4b

Price-To-Earnings vs Peers: PRX is good value based on its Price-To-Earnings Ratio (8.4x) compared to the peer average (17.3x).


Price to Earnings Ratio vs Industry

How does PRX's PE Ratio compare vs other companies in the Global Multiline Retail Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.6%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.6%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: PRX is good value based on its Price-To-Earnings Ratio (8.4x) compared to the Global Multiline Retail industry average (21.9x).


Price to Earnings Ratio vs Fair Ratio

What is PRX'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.

PRX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.4x
Fair PE Ratio8.6x

Price-To-Earnings vs Fair Ratio: PRX is good value based on its Price-To-Earnings Ratio (8.4x) compared to the estimated Fair Price-To-Earnings Ratio (8.6x).


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 PRX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentR664.04
R811.23
+22.2%
11.3%R974.23R657.46n/a17
Apr ’25R597.99
R868.79
+45.3%
21.4%R1,522.10R658.21n/a18
Mar ’25R557.51
R871.68
+56.4%
21.7%R1,513.24R654.37n/a18
Feb ’25R564.77
R866.16
+53.4%
21.6%R1,509.55R652.78n/a18
Jan ’25R560.39
R875.20
+56.2%
21.5%R1,498.43R647.97n/a17
Dec ’24R610.30
R875.72
+43.5%
21.5%R1,500.35R648.80n/a17
Nov ’24R524.74
R829.31
+58.0%
13.1%R993.26R643.40n/a16
Oct ’24R558.00
R822.33
+47.4%
13.2%R990.92R641.89n/a16
Sep ’24R603.39
R847.78
+40.5%
12.9%R1,024.46R670.55n/a17
Aug ’24R658.56
R830.84
+26.2%
12.6%R1,012.32R662.61n/a17
Jul ’24R632.20
R837.27
+32.4%
13.3%R1,036.54R659.61n/a18
Jun ’24R612.03
R838.35
+37.0%
13.0%R1,006.99R636.49n/a19
May ’24R628.74
R801.66
+27.5%
13.3%R980.50R608.28R637.9719
Apr ’24R637.25
R783.07
+22.9%
14.3%R956.92R575.92R597.9918
Mar ’24R634.98
R782.60
+23.2%
13.6%R956.94R575.94R557.5120
Feb ’24R635.99
R751.36
+18.1%
13.8%R936.98R563.92R564.7720
Jan ’24R540.36
R710.53
+31.5%
12.8%R894.84R548.72R560.3919
Dec ’23R525.83
R656.10
+24.8%
13.4%R837.35R523.35R610.3019
Nov ’23R395.66
R714.98
+80.7%
15.7%R906.48R510.92R524.7419
Oct ’23R434.95
R720.06
+65.5%
14.3%R877.60R494.65R558.0019
Sep ’23R470.72
R698.89
+48.5%
14.9%R854.86R450.75R603.3919
Aug ’23R491.67
R695.80
+41.5%
15.9%R854.38R450.49R658.5619
Jul ’23R503.21
R668.28
+32.8%
18.9%R855.24R426.84R632.2018
Jun ’23R361.84
R660.09
+82.4%
24.7%R951.98R380.79R612.0318
May ’23R356.57
R691.93
+94.1%
23.6%R935.31R339.70R628.7419

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


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