Is GARPF Stock Undervalued?

A comprehensive valuation analysis of Golden Agri-Resources Ltd (GARPF) examining current multiples, intrinsic value, and comparing to analyst expectations.

8 min readView Full Analysis

Valuation Verdict

Potentially Undervalued

1738237246833.1% upside potential

Based on our analysis, Golden Agri-Resources Ltd appears to be potentially undervalued at the current price of $0.26. Our fair value estimate of $4519416842.03 suggests upside potential of approximately 1738237246833.1%.

Current Valuation Metrics

Valuation ratios help us understand how the market is pricing GARPF relative to its fundamentals. Let's examine the key multiples investors are paying today.

P/E Ratio
7.33
Low
P/B Ratio
0.63
Low
P/S Ratio
0.22
Low
EV/EBITDA
4.10
Low

Understanding the Metrics

  • P/E Ratio: At 7.33x earnings, GARPF is trading below the typical market average of 15-20x.
  • P/B Ratio: A P/B of 0.63 means investors pay $0.63 for every $1 of book value.
  • P/S Ratio: The price-to-sales ratio of 0.22 indicates how much investors value each dollar of revenue.
  • EV/EBITDA: This ratio of 4.10 helps compare GARPF to peers while accounting for debt.

Fair Value Estimate

Using a discounted cash flow (DCF) model, we estimate the intrinsic value of Golden Agri-Resources Ltd stock. This fundamental analysis looks at the company's ability to generate future cash flows and discounts them back to today's value.

Current Price
$0.26
vs
Fair Value Estimate
$4519416842.03
Implied Return+1738237246833.1%

Our DCF model suggests GARPF may be undervalued by approximately 1738237246833.1%. This implies the market may be pricing in more pessimistic growth expectations than our base case scenario.

Investment Conclusion

Bottom Line

Based on our comprehensive valuation analysis, Golden Agri-Resources Ltd (GARPF) appears to be undervalued at $0.26. With a fair value estimate of $4519416842.03, the stock offers potential upside for long-term investors willing to wait for the market to recognize its intrinsic value.

Disclaimer: This analysis is for informational purposes only and should not be considered investment advice. Always conduct your own research and consult with a financial advisor before making investment decisions. Past performance does not guarantee future results.

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