RAIL3 Relative Valuation - Rumo SA - Alpha Spread

Rumo SA
BOVESPA:RAIL3

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Rumo SA
BOVESPA:RAIL3
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Price: 19.92 BRL -2.73% Market Closed
Market Cap: 36.8B BRL
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Relative Value

The Relative Value of one RAIL3 stock under the Base Case scenario is 30.76 BRL. Compared to the current market price of 19.92 BRL, Rumo SA is Undervalued by 35%.

Relative Value is the estimated value of a stock based on various valuation multiples like P/E and EV/EBIT ratios. It offers a quick snapshot of a stock's valuation in relation to its peers and historical norms.

RAIL3 Relative Value
Base Case
30.76 BRL
Undervaluation 35%
Relative Value
Price
Worst Case
Base Case
Best Case

Valuation Multiples

vs History
95
vs Industry
15
Median 3Y
3.9
Median 5Y
4.2
Industry
0.9
Forward
2.7
vs History
80
vs Industry
7
Median 3Y
52.2
Median 5Y
53.3
Industry
15.7
Forward
17.1
vs History
95
vs Industry
40
Median 3Y
8
Median 5Y
8.9
Industry
7.4
vs History
52
vs Industry
36
Median 3Y
10.9
Median 5Y
11.6
Industry
20.5
vs History
63
vs Industry
18
Median 3Y
2.4
Median 5Y
2.5
Industry
1.3
vs History
95
vs Industry
12
Median 3Y
5
Median 5Y
5.6
Industry
1.3
Forward
3.5
vs History
95
vs Industry
17
Median 3Y
14.9
Median 5Y
18.7
Industry
5.5
vs History
95
vs Industry
35
Median 3Y
9.6
Median 5Y
11.4
Industry
8
Forward
6.4
vs History
95
vs Industry
41
Median 3Y
15.3
Median 5Y
21.2
Industry
13.9
Forward
9.5
vs History
95
vs Industry
40
Median 3Y
10
Median 5Y
12.1
Industry
9.6
vs History
63
vs Industry
22
Median 3Y
24.7
Median 5Y
25.7
Industry
17.5
vs History
68
vs Industry
24
Median 3Y
1.2
Median 5Y
1.3
Industry
0.9

Multiples Across Competitors

RAIL3 Competitors Multiples
Rumo SA Competitors

All Multiples
P/S
P/E
EV/EBITDA
EV/EBIT
All Countries
Close
Market Cap P/S P/E EV/EBITDA EV/EBIT
BR
Rumo SA
BOVESPA:RAIL3
36.8B BRL 3.1 36.3 7.8 12.2
US
Union Pacific Corp
NYSE:UNP
149.6B USD 6.2 23 15.3 19.2
CA
Canadian Pacific Railway Ltd
NYSE:CP
80.1B USD 7.6 31.2 18.3 24.9
CA
Canadian National Railway Co
TSX:CNR
100.3B CAD 5.9 18.4 14.3 18.4
US
CSX Corp
NASDAQ:CSX
67.7B USD 4.6 18.9 12 15.7
US
Norfolk Southern Corp
NYSE:NSC
56B USD 4.6 31.3 14 18.8
CN
Beijing-Shanghai High Speed Railway Co Ltd
SSE:601816
261.7B CNY 6.2 20.5 16.1 16.1
US
Kansas City Southern
LSE:0JQ4
4.2B USD 1.4 43.3 5 6.6
JP
East Japan Railway Co
TSE:9020
3.4T JPY 1.2 14.9 9.9 20
JP
Central Japan Railway Co
TSE:9022
3.2T JPY 1.9 7.9 8.4 11.2
HK
MTR Corp Ltd
HKEX:66
171.6B HKD 2.9 17.8 20 20

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