Basic Sanitation Company of the State of Sao Paulo SABESP
SWB:SAJA
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EV/S
Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.
Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.
Valuation Scenarios
If EV/S returns to its 3-Year Average (1.3), the stock would be worth €19.59 (31% downside from current price).
| Scenario | EV/S Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 1.8 | €28.2 |
0%
|
| 3-Year Average | 1.3 | €19.59 |
-31%
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| 5-Year Average | 1.2 | €19.18 |
-32%
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| Industry Average | 2.1 | €32.52 |
+15%
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| Country Average | 1.5 | €23.23 |
-18%
|
Forward EV/S
Today’s price vs future revenue
| Today's Enterprise Value | Revenue | Forward EV/S | ||
|---|---|---|---|---|
|
€11.6B
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/ |
Jan 2026
R$38.1B
|
= |
|
|
€11.6B
|
/ |
Dec 2026
R$26.4B
|
= |
|
|
€11.6B
|
/ |
Dec 2027
R$30.8B
|
= |
|
|
€11.6B
|
/ |
Dec 2028
R$33B
|
= |
|
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€11.6B
|
/ |
Dec 2029
R$35.6B
|
= |
|
Forward EV/S shows whether today’s EV/S still looks high or low once future revenue are taken into account.
Peer Comparison
| Market Cap | EV/S | P/E | ||||
|---|---|---|---|---|---|---|
| BR |
B
|
Basic Sanitation Company of the State of Sao Paulo SABESP
SWB:SAJA
|
7.7B EUR | 1.8 | 5.4 | |
| US |
|
American Water Works Company Inc
NYSE:AWK
|
25.9B USD | 7.8 | 23.3 | |
| BR |
|
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP
BOVESPA:SBSP3
|
119.1B BRL | 3.6 | 13.4 | |
| UK |
|
Severn Trent PLC
LSE:SVT
|
9.2B GBP | 6.7 | 28.9 | |
| UK |
|
United Utilities Group PLC
LSE:UU
|
9.1B GBP | 7.6 | 22.3 | |
| US |
|
Essential Utilities Inc
NYSE:WTRG
|
11.2B USD | 7.9 | 18.2 | |
| HK |
|
Guangdong Investment Ltd
HKEX:270
|
53.3B HKD | 2.9 | 11.5 | |
| BR |
|
Companhia de Saneamento de Minas Gerais Copasa MG
BOVESPA:CSMG3
|
21.2B BRL | 3.3 | 15 | |
| CN |
|
Grandblue Environment Co Ltd
SSE:600323
|
25.5B CNY | 4.1 | 13.6 | |
| HK |
|
Beijing Enterprises Water Group Ltd
HKEX:371
|
28B HKD | 3.4 | 19.2 | |
| UK |
|
Pennon Group PLC
LSE:PNN
|
2.5B GBP | 5.7 | 84.3 |
Market Distribution
| Min | 0.1 |
| 30th Percentile | 1 |
| Median | 1.5 |
| 70th Percentile | 2.6 |
| Max | 40.3 |
Other Multiples
Basic Sanitation Company of the State of Sao Paulo SABESP
Glance View
In the bustling state of São Paulo, SABESP, or Companhia de Saneamento Básico do Estado de São Paulo, stands as a vital pillar in the realm of public utility. Established in the 1970s, it has deeply intertwined itself with the state’s infrastructure and daily life by managing water supply and sewage services for millions of residents. SABESP operates with a business model that rests firmly on the provision and maintenance of essential services. It draws water from extensive natural sources, treating and transporting it through a sprawling network, ensuring that both urban and rural locales have access to clean and safe water. This intricate process not only highlights the complexity of its operations but underscores its commitment to elevating the living conditions within its reach. The company's prowess in efficiently delivering these services has allowed it to become a publically traded entity, thus positioning itself as both a steward of public health and a key player in the economic fabric of the region. Revenue generation for SABESP is predominantly guided by the fees collected from its extensive customer base, ranging from residential users to industrial consumers. The rates charged for its services are closely regulated, ensuring they are both fair and capable of maintaining the company's vast infrastructure. Despite operating within a framework that emphasizes public welfare, SABESP balances its social mandate with business acumen, seeking to optimize its operations and extend its reach. This balance is pivotal as it navigates challenges like urbanization and environmental sustainability, allowing the company to not only supply water and manage waste but also to reinvest in technological advancements and infrastructure improvements. Ultimately, as SABESP continues to grow, it remains a quintessential example of how utility companies can sustain profitability while advancing public health objectives.