ALS Ltd
ASX:ALQ
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EV/OCF
Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.
Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.
Valuation Scenarios
If EV/OCF returns to its 3-Year Average (22.7), the stock would be worth AU$17.37 (19% downside from current price).
| Scenario | EV/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 27.9 | AU$21.36 |
0%
|
| 3-Year Average | 22.7 | AU$17.37 |
-19%
|
| 5-Year Average | 21.2 | AU$16.25 |
-24%
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| Industry Average | 13.5 | AU$10.37 |
-51%
|
| Country Average | 14.1 | AU$10.79 |
-49%
|
Forward EV/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | EV/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| AU |
|
ALS Ltd
ASX:ALQ
|
10.8B AUD | 27.9 | 40 | |
| UK |
|
Relx PLC
LSE:REL
|
49B GBP | 19.3 | 23.7 | |
| UK |
I
|
IHS Markit Ltd
F:0M3
|
37.9B EUR | 32 | 36.5 | |
| CA |
|
Thomson Reuters Corp
TSX:TRI
|
55B CAD | 15.2 | 26.1 | |
| IE |
|
Experian PLC
LSE:EXPN
|
25.1B GBP | 17.5 | 24.6 | |
| US |
|
Verisk Analytics Inc
NASDAQ:VRSK
|
24.6B USD | 17.7 | 27.1 | |
| CH |
|
SGS SA
SIX:SGSN
|
16.5B CHF | 14.6 | 24.6 | |
| US |
|
Equifax Inc
NYSE:EFX
|
20.6B USD | 15 | 29.4 | |
| US |
|
Leidos Holdings Inc
NYSE:LDOS
|
18.5B USD | 12.4 | 12.7 | |
| US |
U
|
UL Solutions Inc
NYSE:ULS
|
18.1B USD | 0 | 0 | |
| NL |
|
Wolters Kluwer NV
AEX:WKL
|
15B EUR | 11 | 11.5 |
Market Distribution
| Min | 0 |
| 30th Percentile | 9.3 |
| Median | 14.1 |
| 70th Percentile | 24.1 |
| Max | 9 251.5 |
Other Multiples
ALS Ltd
Glance View
ALS Ltd., originally an Australian-based company, has carved a reputable niche for itself in the global market by providing comprehensive testing, inspection, certification, and verification solutions. Over the years, ALS has extended its reach far and wide, serving industries from the bustling mining sectors to environmental science and life sciences. The company prides itself on its ability to offer clients a deep understanding of the services needed to ensure safety, compliance, and improved performance. It operates through a vast network of laboratories strategically positioned to serve a diverse array of clientele, ensuring both accessibility and expertise in localized markets. These operational efficiencies and global reach allow ALS to generate revenue across various sectors by offering tailored and reliable services that meet the specific needs of each industry. In mining, ALS assists with geochemistry and metallurgy services, crucial for exploration and operational readiness, while in the life sciences realm, the company provides vital air and water quality testing. This diversification strategy not only positions ALS as a leader in its field but also ensures it captures a broad customer base that mitigates risks associated with reliance on a single market sector. Through its commitment to quality and innovation, ALS has cemented its place as a trusted partner to industries worldwide, continuously adapting to the changing landscapes of compliance and technological advancement.