BRF SA Valuation
| BRFS3 Stock | BRL 24.63 0.29 1.16% |
At this time, the firm appears to be overvalued. BRF SA shows a prevailing Real Value of R$20.61 per share. The current price of the firm is R$24.63. Our model approximates the value of BRF SA from reviewing the firm fundamentals such as Profit Margin of (0.03) %, current valuation of 25.97 B, and Return On Equity of -0.12 as well as analyzing its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that BRF SA's price fluctuation is not too volatile at this time. Calculation of the real value of BRF SA is based on 3 months time horizon. Increasing BRF SA's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the BRF stock is determined by what a typical buyer is willing to pay for full or partial control of BRF SA. Since BRF SA is currently traded on the exchange, buyers and sellers on that exchange determine the market value of BRF Stock. However, BRF SA's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 24.63 | Real 20.61 | Hype 25.21 | Naive 23.83 |
The intrinsic value of BRF SA's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence BRF SA's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of BRF SA helps investors to forecast how BRF stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of BRF SA more accurately as focusing exclusively on BRF SA's fundamentals will not take into account other important factors: BRF SA Total Value Analysis
BRF SA is currently projected to have takeover price of 25.97 B with market capitalization of 7.13 B, debt of 24.26 B, and cash on hands of 5.34 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the BRF SA fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
25.97 B | 7.13 B | 24.26 B | 5.34 B |
BRF SA Investor Information
About 33.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 0.64. Some equities with similar Price to Book (P/B) outperform the market in the long run. BRF SA recorded a loss per share of 1.39. The entity last dividend was issued on the 13th of July 2016. The firm had 2:1 split on the 1st of April 2010. Based on the key measurements obtained from BRF SA's financial statements, BRF SA is not in a good financial situation at the moment. It has a very high risk of going through financial straits in December.BRF SA Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. BRF SA has an asset utilization ratio of 86.48 percent. This implies that the Company is making R$0.86 for each dollar of assets. An increasing asset utilization means that BRF SA is more efficient with each dollar of assets it utilizes for everyday operations.BRF SA Ownership Allocation
BRF SA holds a total of 1.08 Billion outstanding shares. BRF SA retains substantial amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.BRF SA Profitability Analysis
The company reported the revenue of 48.34 B. Net Income was 419.45 M with profit before overhead, payroll, taxes, and interest of 10.29 B.About BRF SA Valuation
The stock valuation mechanism determines BRF SA's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of BRF SA based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of BRF SA. We calculate exposure to BRF SA's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of BRF SA's related companies.BRF S.A. focuses on raising, producing, and slaughtering poultry and pork for processing, production, and sale of fresh meat, processed products, pasta, margarine, and other products. BRF S.A. was founded in 1934 and is headquartered in Itaja, Brazil. BRF SA operates under Packaged Foods classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 95000 people.
8 Steps to conduct BRF SA's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates BRF SA's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct BRF SA's valuation analysis, follow these 8 steps:- Gather financial information: Obtain BRF SA's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine BRF SA's revenue streams: Identify BRF SA's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research BRF SA's industry and market trends, including the size of the market, growth rate, and competition.
- Establish BRF SA's growth potential: Evaluate BRF SA's management, business model, and growth potential.
- Determine BRF SA's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate BRF SA's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for BRF Stock Analysis
When running BRF SA's price analysis, check to measure BRF SA's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy BRF SA is operating at the current time. Most of BRF SA's value examination focuses on studying past and present price action to predict the probability of BRF SA's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move BRF SA's price. Additionally, you may evaluate how the addition of BRF SA to your portfolios can decrease your overall portfolio volatility.