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Data-driven stock valuation

Synlait Milk Ltd (SM1) fair value: what the stock is really worth

We calculate from audited financials what Synlait Milk Ltd is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.

  1. Compare price with fair valuebelow fair value = cheap, above = expensive
  2. Check the quality50 and up solid, 75 and up strong
  3. Watch it or check another stockalert when fair value or trend changes

Consumer Defensive · AU · Market cap A$181M (≈ $131M) · ISIN NZSMLE0001S9

At a glance

SM Synlait Milk Ltd SM1 · AU
PriceA$0.3350
Fair ValueA$0.2380
Upside−29.0%
Quality46/100

Below-average quality, and trading another 41% above our fair value of A$0.2380.

As of Aug 19, 2026, the fair value of Synlait Milk Ltd is A$0.2380 per share against a price of A$0.3350, so the fair value sits 29% below the price. A model estimate from reported figures, not an analyst target.

!Mixed Growth (revenue 5y +7.0 %/yr)
!Loss-making · -6.9% net margin
Low debt · generates free cash flow
!Trails peers (3/11)
!Narrow moat 16/100
!Evidence only low, so the estimate is less certain
!The models disagree: range A$0.0765 to A$0.4080
Evidence: Low Range A$0.0765 to A$0.4080

Fair value as of: Aug 19, 2026

From 10 valuation models · updated 20 days ago

Share price +13.6% over the past month.

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What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The model range is unusually wide (A$0.0765 to A$0.4080). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (46/100) and above fair value, neither a clear bargain nor a standout compounder.
  • Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.

Price vs Fair Value (5 years)

A$3.73 A$0.2050 Fair Value A$0.2380 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 19, 2026.

How to read this chart

60‑month range A$0.2050 – A$3.73 · fair‑value band A$0.0765 – A$0.4080 · the A$0.3350 price screens above the A$0.2380 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 19, 2026.

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Analysis

Synlait Milk Ltd (SM1) currently trades at A$0.3350, while our model-based Fair Value estimate is A$0.2380, implying the stock looks roughly 40.8% overvalued today. The Quality Score stands at 46/100 (below-average quality), in the Consumer Defensive sector. Bull case: the Asset-Based group reads highest at a median of A$0.8800 per share, and 10 of the 10 models we run sit above the A$0.3350 price. Bear case: the Multiples group reads lowest at A$0.6000, and 0 of the 10 models stay below the price. Evidence for this calculation is low.

Over the trailing twelve months, Synlait Milk Ltd generated revenue of A$1.8B at a net margin of −6.9%. Revenue declined 0.2% year over year. It earns a return on equity of −17.4%. Net debt stands at A$306M. Fundamentals as of Aug 19, 2026

Scenario range: A$0.0765 (bear) to A$0.4080 (bull), the price of A$0.3350 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 56% below its 52-week high and 2% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at −25% fair-value upside, at −29%, SM1 screens richer than that median.

Fair Value models

Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF A$2.01 A$3.30 A$5.15 79
Growth DCF A$1.97 A$3.08 A$4.56 78
5Y EBITDA Exit A$1.02 A$1.52 A$2.09 75
All 10 models by family
DCF Models
FCF DCF A$2.01 A$3.30 A$5.15 79
5Y Revenue Exit A$1.94 A$3.40 A$5.36 71
5Y EBITDA Exit A$1.02 A$1.52 A$2.09 75
10Y Revenue Exit A$1.88 A$3.14 A$5.04 65
10Y EBITDA Exit A$1.41 A$1.97 A$2.70 69
Multiples
EV/EBITDA A$0.4100 A$0.6000 A$0.8000 66
EV/Revenue A$1.96 A$2.89 A$3.81 53
Asset-Based
NCAV (Graham) A$0.6500 A$0.8800 A$1.31 54
Growth DCF
Growth DCF A$1.97 A$3.08 A$4.56 78
Rev-Margin DCF A$1.94 A$3.38 A$5.23 71

Widest divergence: DCF Models (A$3.14) versus Multiples (A$0.6000). Highest evidence: FCF DCF (79).

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Key figures & financial health

P/S ratio 0.11 TTM
EPS (TTM) A$−0.1700
Net margin −2.2% FY2025
Return on equity −17.4% TTM
Return on assets (EBIT) −0.8% avg 5y
Operating margin −6.2% TTM
More key figures
Growth
Revenue (TTM) A$1.8B TTM
Revenue growth (YoY) −0.2% 3y avg +9.4%
EPS growth (YoY) −82.9%
Balance sheet & cash flow
Free cash flow A$143M FY2025
Net debt A$306M FY2025 · ≈ 2.1 yrs of FCF

Figures from reported company fundamentals · as of Aug 19, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 46/100

Of which business quality 46 · Market factors (momentum, volatility) 26

Profitability 23
Margins and returns on capital today
Quality Growth 83
Are margins and returns improving?
Cashflow 56
Earnings quality: real cash, not paper profit
Fin. Strength 40
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 23
Price trend over the last 3–12 months (market factor)
52W Momentum 5
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Synlait Milk Limited, together with its subsidiaries, manufactures, processes, and sells dairy and non-dairy products in China, rest of Asia, the Middle East, Africa, New Zealand, Australia, and internationally. It operates through Synlait and Dairyworks segments.

Full company description

Synlait Milk Limited, together with its subsidiaries, manufactures, processes, and sells dairy and non-dairy products in China, rest of Asia, the Middle East, Africa, New Zealand, Australia, and internationally. It operates through Synlait and Dairyworks segments. The company offers milk powder, milk powder-related products, fresh milk, ultra heat treatment milk and cream, cheese, and butter; skim milk powders; nutritional products for early life and adults comprising consumer-ready powders, base powders, ready-to-drink milk beverages, ingredients, and finished consumer-ready products; drinking yoghurts; specialized ingredients, such as lactoferrin; and anhydrous milk fat for foodservice applications. It sells its products under the Dairyworks, Rolling Meadow, Alpine, Pams, and Value brands. The company serves bakeries, cafés, and beverage chains; and manufacturers. It exports its products. Synlait Milk Limited was founded in 2000 and is headquartered in Rakaia, New Zealand.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Synlait Milk Ltd reported revenue of A$1.8B in FY2025 versus A$1.4B in FY2021, a compound +7.5%/yr. Reported net income was −A$39.8M in FY2025.

Growth Quality 46/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
A$1.8B
Latest YoY
+11.6%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.4%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.0%
Avg. revenue growth/yr (12Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+13.0%
EBIT margin (trend) Operating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.
9.6% (2020) → −1.1% (2025)
Value creation/yr We only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Revenue +7.5%/yr
FY21 A$1.4B
FY22 A$1.4B
FY23 A$1.6B
FY24 A$1.6B
FY25 A$1.8B
Net income
FY21 −A$28.5M
FY22 A$38.5M
FY23 −A$4.3M
FY24 −A$182M
FY25 −A$39.8M

SM1 screens 41% overvalued. Compare with Nestlé S.A →

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Cite: Fair Value Calculator (2026). "Synlait Milk Ltd Fair Value". https://www.fairvalue-calculator.com/stock/SM1

Peer Group

Packaged Foods · 647 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation
Quality Score 46 · Below median
Fair Value upside −10% · Below median
Profitability
Return on assets −4% · Bottom 25%
Net margin (TTM) −7% · Bottom 25%
Operating margin (TTM) −6% · Bottom 25%
Growth and dividend
Revenue growth 0% · Below median
Balance sheet
Debt / equity 0.24× · Above median

Valuation Multiples vs Packaged Foods median · lower = cheaper

P/B 0.17× · Cheapest 25%
P/S (TTM) 0.07× · Cheapest 25%
P/FCF 0.9× · Cheaper than median

Context: sector, industry, market

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 23
FUTURE0 · sector 20
PAST0 · sector 29
HEALTH88 · sector 96
DIVIDEND0 · sector 54

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Packaged Foods stocks, each showing price versus our Fair Value estimate (as of Aug 19, 2026).

Stock Price Fair Value vs Fair Value
Nestlé S.A NESN CHF 78.76 CHF 57.26 −27%
Danone S.A BN €64.28 €48.41 −25%
Nestlé India Limited NESTLEIND ₹1,478 ₹251.94 −83%
The Kraft Heinz Company KHC $24.85 $24.59 −1%
Foshan Haitian Flavouring and Food Company 603288 ¥35.05 ¥21.93 −37%
Inner Mongolia Yili Industrial Group 600887 ¥25.51 ¥32.50 +27%
Yihai Kerry Arawana Holdings 300999 ¥25.28 ¥9.89 −61%
General Mills, Inc GIS $38.29 $28.32 −26%
Wilmar International Limited F34 3.64 SGD 3.89 SGD +7%
McCormick & Company MKCV $55.65 $43.29 −22%

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Frequently asked questions

Is Synlait Milk Ltd (SM1) overvalued or undervalued?
As of Aug 19, 2026, our model estimates a fair value of A$0.2380 versus a price of A$0.3350, about −29% upside (overvalued).
What is the fair value of SM1?
Our model-based fair value for Synlait Milk Ltd is A$0.2380 (as of Aug 19, 2026), built from audited fundamentals. The current price: A$0.3350.
What is the quality score of SM1?
Synlait Milk Ltd has a Quality Score of 46/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Synlait Milk Ltd (SM1)?
Our model-based price target is the fair value of A$0.2380 (as of Aug 19, 2026) from 10 valuation models. Cautious scenario A$0.0765, optimistic scenario A$0.4080. It is a calculation from audited fundamentals, not an analyst target.
What is the Synlait Milk Ltd stock forecast for 2026?
Our models put fair value at A$0.2380, about −29% upside versus a price of A$0.3350 (overvalued). Cautious scenario A$0.0765, optimistic scenario A$0.4080. The calculation is refreshed regularly with new filings.
What is the revenue of Synlait Milk Ltd (SM1)?
Synlait Milk Ltd reported trailing-twelve-month revenue of about A$1.8B (latest available figure, as of Aug 19, 2026).
What is the net profit margin of SM1?
The net profit margin of Synlait Milk Ltd is about −6.9%, meaning it is currently running at a net loss. Based on the latest reported figures.
What is the intrinsic value of Synlait Milk Ltd (SM1)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Synlait Milk Ltd it is A$0.2380 per share (as of Aug 19, 2026), against a price of A$0.3350. It is the blended result of 10 valuation models (cash flow, earnings, asset, dividend).
Is Synlait Milk Ltd stock overvalued or undervalued in 2026?
As of Aug 19, 2026, SM1 trades above its calculated fair value: price A$0.3350, fair value A$0.2380, a gap of about −29% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of SM1?
No. The price is what the market pays today (A$0.3350); the fair value is what the company's own numbers justify (A$0.2380). For Synlait Milk Ltd the two are A$0.0970 per share apart. That gap is exactly why we show both numbers side by side.
How much is Synlait Milk Ltd worth?
The market values Synlait Milk Ltd at about A$181M (market capitalisation, as of Aug 19, 2026). Per share that is A$0.3350; our models calculate a fair value of A$0.2380 per share.
What do the bullish and bearish scenarios say about SM1?
Our models span a range for Synlait Milk Ltd: cautious scenario A$0.0765, base A$0.2380, optimistic A$0.4080 per share (as of Aug 19, 2026, price A$0.3350). The range comes from different growth and margin assumptions, not from analyst opinions.
How solid is the balance sheet of Synlait Milk Ltd (SM1)?
Balance-sheet figures for Synlait Milk Ltd (as of Aug 19, 2026): return on equity −17.4%, debt of 0.24 per unit of equity. They feed the Quality Score of 46/100, which measures business quality independently of the share price.
How far is SM1 from its 52-week high?
Synlait Milk Ltd trades at A$0.3350, about 56% below its 52-week high of A$0.7600 and 2% above the low of A$0.3300 (as of Aug 19, 2026). Distance from the high says nothing about value: that is what the fair value of A$0.2380 is for.
Which stocks are comparable to Synlait Milk Ltd?
From the same area (Consumer Defensive) we also value Nestlé S.A, Danone S.A, Nestlé India Limited, The Kraft Heinz Company, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Synlait Milk Ltd stock attractive at the current price?
The data as of Aug 19, 2026: price A$0.3350, calculated fair value A$0.2380 (−29%), Quality Score 46/100, from 10 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of SM1 calculated?
We run Synlait Milk Ltd through 10 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of A$0.2380, with the spread shown as a cautious and an optimistic scenario.
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