PPB Group Bhd
KLSE:PPB
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P/FCFE
Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.
Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.
Valuation Scenarios
If P/FCFE returns to its Industry Average (18.6), the stock would be worth MYR4.66 (60% downside from current price).
| Scenario | P/FCFE Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 46 | MYR11.52 |
0%
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| Industry Average | 18.6 | MYR4.66 |
-60%
|
| Country Average | 16.5 | MYR4.15 |
-64%
|
Forward P/FCFE
Today’s price vs future free cash flow to equity
Peer Comparison
| Market Cap | P/FCFE | P/E | ||||
|---|---|---|---|---|---|---|
| MY |
P
|
PPB Group Bhd
KLSE:PPB
|
16.4B MYR | 46 | -6 | |
| JP |
G
|
Goyo Foods Industry Co Ltd
TSE:2230
|
53.2T JPY | -621 880.5 | 540 752.8 | |
| CH |
|
Nestle SA
SIX:NESN
|
203.3B CHF | 28.5 | 22.5 | |
| US |
|
Mondelez International Inc
NASDAQ:MDLZ
|
78.7B USD | 15.9 | 32.1 | |
| FR |
|
Danone SA
PAR:BN
|
42.7B EUR | 15.3 | 23.5 | |
| ZA |
T
|
Tiger Brands Ltd
JSE:TBS
|
47.6B ZAR | 347.5 | 12.5 | |
| US |
|
Hershey Co
NYSE:HSY
|
37B USD | 19.6 | 41.9 | |
| CN |
|
Muyuan Foods Co Ltd
SZSE:002714
|
244.2B CNY | -46.5 | 25 | |
| ZA |
A
|
Avi Ltd
JSE:AVI
|
33.1B ZAR | 16.6 | 12.8 | |
| CN |
|
Foshan Haitian Flavouring and Food Co Ltd
SSE:603288
|
225.7B CNY | 35.9 | 32.1 | |
| CH |
|
Chocoladefabriken Lindt & Spruengli AG
SIX:LISN
|
23.2B CHF | 198.9 | 31.9 |
Market Distribution
| Min | 0.2 |
| 30th Percentile | 10.7 |
| Median | 16.5 |
| 70th Percentile | 31.5 |
| Max | 143 415.1 |
Other Multiples
PPB Group Bhd
Glance View
PPB Group Bhd is a prominent Malaysian conglomerate with a rich history woven into the very fabric of Southeast Asia’s economic landscape. Established in 1968 by the influential Kuok family, the company has grown into a diversified powerhouse with interests spanning across multiple industries. At its heart, PPB Group is fundamentally anchored in food production, with its flagship subsidiary, FFM Berhad, leading the way in flour and animal feed manufacturing. This division has secured a pivotal role in the food supply chain, leveraging on regional demand to drive revenue. Underpinning the success of this sector is PPB’s strategic emphasis on efficiency and scale, allowing it to compete fiercely in both domestic and international markets. Through strategic investments in technology and infrastructure, PPB ensures robust, sustainable operations that cater to ever-growing regional needs. Beyond its staple business in food production, PPB Group is also a significant player in Malaysia’s property development, cinema operations, and environmental engineering sectors. Golden Screen Cinemas, its wholly owned subsidiary, is the largest cinema operator in Malaysia, enhancing PPB’s portfolio by tapping into entertainment and lifestyle consumer spending. Meanwhile, the Property division develops residential and commercial projects, creating value through its astute eye for prime locations and quality developments. These diversified ventures align with PPB's philosophy of creating long-term shareholder value, as each sector generates robust cash flows that mitigate the cyclical nature of the individual markets they serve. Uniting these diverse operations is a management ethos characterized by prudent capital allocation, steady expansion strategies, and an unwavering commitment to sustainable growth, which together continue to underpin PPB Group’s enduring success.