ASH Peer Analysis, page-26

Apologies for the posting overkill, but key peer PPE released its FY results presentation today. This included the annualised impact of PPE's recent acquisitions, which provides a much cleaner source of comparison with ASH (after adjusting ASH for the CCL acquisition) [Note: the PPE revenue number is only my rough estimate].

The comparison is included below, but in summary, despite the recent run up in share price, PPE is still valued at about 2.3x-2.4x ASH on most key valuation metrics, such as EV/EBITDA, EV/EBIT, P/E etc (and PPE has a higher level of acquisition earnout liabilities which are not included in these numbers). Accordingly, although there are differences between the two companies, the ASH share price could double to 80c and still trade at 15%-20% discount to PPE. So if the market really has started to re-rate ASH, it is only just beginning.