Nestle Fair Value
NE
The fair market value of NESNE.SW stock is 101.22 CHF. Relative to the market price of 82.88 CHF Nestle is undervalued by 22.1%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Nestle Valuation
Current NESNE.SW share ticker price is 82.88 CHF.
The fair value level of 101.22 CHF can be considered as an effective entry point for long-term investors to start investing in NESNE.SW stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 22% lower its fair value
Current price is 8% lower its minimum value
Current price is 52% lower its maximum value
Market price:
NESNE.SW stock is greatly undervalued
It means the current price may concern as a Low Risk Entry Point
Nestle SA Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
29.7
2
Median P/E over 5 years
23.89
3
Minimum P/E over 5 years
21.22
4
Earning per share (last 12 months)
4.24 CHF
Maximum value
1
x
4
=
125.84 CHF
Fair value
2
x
4
=
101.22 CHF
Minimum value
3
x
4
=
89.91 CHF
Nestle SA price metrics
-4.61
Annual return (geometric mean)
17.01
Risk (standard deviation) of returns
β
0.81
Beta (volatility compared to market)