Blue Label Telecoms Valuation

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

Below Fair Value: Insufficient data to calculate BLU's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate BLU's fair value for valuation analysis.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for BLU. This is calculated by dividing BLU's market cap by their current earnings.
What is BLU's PE Ratio?
PE Ratio	7.4x
Earnings	R647.39m
Market Cap	R4.80b

BLU 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/Revenue	0.6x
Enterprise Value/EBITDA	8.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for BLU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	14.7x
TKG Telkom SA SOC	9.8x	16.3%	R14.3b
CGN Cognition Holdings	23x	n/a	R236.2m
ONTBF ONATEL-SA	7.6x	n/a	XOF 161.2b
LICT LICT	18.3x	n/a	US$228.3m
BLU Blue Label Telecoms	7.4x	n/a	R4.8b

Price-To-Earnings vs Peers: BLU is good value based on its Price-To-Earnings Ratio (7.4x) compared to the peer average (14.7x).

Price to Earnings Ratio vs Industry

How does BLU's PE Ratio compare vs other companies in the Global Telecom Industry?

3 Companies	Price / Earnings	Estimated Growth	Market Cap

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: BLU is good value based on its Price-To-Earnings Ratio (7.4x) compared to the Global Telecom industry average (16.4x).

Price to Earnings Ratio vs Fair Ratio

What is BLU'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.

BLU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	7.4x
Fair PE Ratio	n/a

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