Lerøy Seafood Group ASA

LSG.OL•packaged-foods

Current Price

48.44NOK

per share

Fair Value

14.41NOK

Overvalued

236.2%

Valuation Overview

Growth Story

Over the next few years, revenue is expected to grow by 6.42%, lower than industry average of 8.86%.

Growth Trajectory

Profitability

In the growth phase company makes 4.14% profit on every dollar of sales, lower than industry average of 8.45%.

Profitability Trajectory

Risk Profile

Investors expect at least 7.01% return to justify the risk of holding stock.

Risk vs Return

Required Return (Cost of Capital) (%)

Return on Invested Capital (%)

Financial Health Overview

Enterprise Value

20.46B NOK

Equity Value

8.57B NOK

FCF Yield

28.08%

Average ROIC

5.19%

Cost of Capital

7.39%

P/E Ratio

73.05x

Financial Metric	Most Recent 12 months (NOK)	Previous Year (NOK)
Revenues	33.14B NOK	31.12B NOK
Operating Income or EBIT	506.21M NOK	3.32B NOK
Interest Expense	181.56M NOK	717.10M NOK
Book Value Of Equity	18.20B NOK	20.01B NOK
Book Value Of Debt	12.66B NOK	13.42B NOK
Cash and Marketable Securities	1.94B NOK	3.33B NOK
Number of Shares Outstanding	595.48M	--
Minority interests	1.16B NOK	0 NOK
Current Stock Price	48.44 NOK	--
Effective Tax Rate	22.00%	--
Marginal Tax Rate	22.00%	--

Performance vs Industry

Revenue Growth

-2.37%

6.48%Company

8.86%Industry

Below Industry

Operating Margin

-6.92%

1.52%Company

8.44%Industry

Below Industry

Lerøy Seafood Group ASA faces challenges in both growth and profitability compared to industry peers, which may indicate competitive pressures or operational inefficiencies.

Terminal Value Analysis

Growth Rate

3.84%

Cost of Capital

8.07%

Return on Capital

8.07%

Reinvestment Rate

47.58%

Terminal value represents 81% of total enterprise value, based on 3.84% perpetual growth and 8.07% discount rate.

Equity Value Breakdown

Component	Value	Type
Present Value (Terminal Value)	16.51B NOK	Add
Present Value (Cash Flow Over Next 10 Years)	3.95B NOK	Add
Value of Operating Assets	20.46B NOK	Sub-total
Debt	12.66B NOK	Subtract
Minority Interests	1.15B NOK	Subtract
Cash	1.93B NOK	Add
Value of Equity	8.57B NOK	Sub-total
Number of Shares	595.48M shares	Divisor
Estimated Value per Share (Fair Value)	14.40 NOK	Total
Current Market Price	48.44 NOK	Reference

Financial Projections

Total FCF Present Value

3.95B NOK

Avg Revenue Growth

4.92%

Avg Operating Margin

4.72%

Avg ROIC

5.19%

Year	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal Year
REVENUE
Revenue	34.85B NOK	37.09B NOK	39.47B NOK	42.01B NOK	44.70B NOK	47.34B NOK	49.90B NOK	52.33B NOK	54.61B NOK	56.71B NOK	58.88B NOK
Growth Rate	5.15%	6.42%	6.42%	6.42%	6.42%	5.90%	5.38%	4.87%	4.35%	3.84%	3.84%
PROFITABILITY
Operating Income	532.32M NOK	1.21B NOK	1.63B NOK	2.10B NOK	2.62B NOK	2.78B NOK	2.93B NOK	3.07B NOK	3.21B NOK	3.33B NOK	3.46B NOK
Operating Margin	1.52%	3.26%	4.13%	5.01%	5.88%	5.88%	5.88%	5.88%	5.88%	5.88%	5.88%
EBIT (1-tax)	415.21M NOK	945.81M NOK	1.27B NOK	1.64B NOK	2.05B NOK	2.17B NOK	2.28B NOK	2.40B NOK	2.50B NOK	2.60B NOK	2.70B NOK
CASH FLOW
Reinvestment	862.81M NOK	918.23M NOK	977.21M NOK	1.03B NOK	1.01B NOK	1.50B NOK	1.43B NOK	1.34B NOK	1.23B NOK	1.28B NOK	1.28B NOK
Free Cash Flow	-447.61M NOK	27.57M NOK	297.49M NOK	601.97M NOK	1.03B NOK	668.87M NOK	856.78M NOK	1.05B NOK	1.27B NOK	1.31B NOK	1.41B NOK
Terminal Value	--	--	--	--	--	--	--	--	--	--	33.47B NOK
Present Value	-418.30M NOK	24.08M NOK	242.80M NOK	459.13M NOK	736.54M NOK	444.65M NOK	530.17M NOK	608.07M NOK	676.92M NOK	650.42M NOK	—
EFFICIENCY
ROIC	1.43%	3.17%	4.15%	5.18%	6.26%	6.43%	6.49%	6.54%	6.58%	6.62%	8.07%
Cost of Capital	7.00%	7.00%	7.00%	7.00%	7.00%	7.21%	7.43%	7.64%	7.85%	8.07%	8.07%
Sales/Capital	2.59x	2.59x	2.59x	2.59x	2.59x	1.69x	1.69x	1.69x	1.69x	1.69x	—

Profitability & Efficiency

Operating Margin (%)

ROIC (%)

Value Creation Analysis

ROIC (%)

Cost of Capital (%)

Operational Cash Flow Analysis

Free Cash Flow (krB)

Reinvestment (krB)