If we look at it from a relative valuation perspective, AIA is currently trading at a Trailing-Twelve-Month EV/EBITDAFI (excluding property revals) of 18.90, while its most direct comparable SYD is trading at a TTM EV/EBITDA of 22.10.
The spread between long-term AUD and NZD government bond yields (20 basis points, as we speak) does not justify that valuation gap, and from a purely fundamental perspective AIA’s market position is unchallenged (for the foreseeable future) by the construction of a second airport, unlike SYD.
So, even from that perspective, the valuation gap looks unjustified to me.
If we were to value AIA at the same EV/EBITDA (excluding financial items) as SYD is currently trading, the implied AIA share price is 7.10A$, 22.4% above the current SP.
And I am by no means suggesting that SYD is currently overvalued, on an absolute basis.
IMHO & DYOR
If we look at it from a relative valuation perspective, AIA is...
-
- There are more pages in this discussion • 12 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add AIA (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
$7.18 |
Change
-0.085(1.17%) |
Mkt cap ! $10.09B | |||
| Open | High | Low | Value | Volume |
| $7.20 | $7.24 | $7.15 | $1.945M | 270.8K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 10 | 4688 | $7.16 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $7.18 | 5010 | 15 |
View Market Depth
| Last trade - 12.58pm 29/11/2024 (20 minute delay) ? |
| AIA (ASX) Chart |
