Grab Holdings Limited (GRAB)
Technology · NMS · US
Fundamentals
Valuation and ratings
Grab Holdings Limited trades at USD3.73, which is 57% above the USD1.59 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 55 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 98.5 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Grab Holdings Limited
Grab Holdings Limited operates the Grab superapp in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company offers delivery services on its platform, such as GrabFood, a food ordering and delivery booking service; Dine-Out for table reservations; GrabMart, a goods ordering and delivery booking service; GrabAds, an online advertising solution; GrabExpress, a package delivery booking service; Grab for Business platform, a unified management portal for corporate clients. It also provides GrabKios, a network of agents; GrabCar, which enables a private hire driver-partner to register with Grab and accept bookings through its driver-partner application; and GrabTaxi, which enables a taxi driver-partner to register with Grab and accept bookings through the Grab driver-partner application. In addition, the company offers JustGrab, which enables consumers to book a private car or a traditional taxi; GrabBike, a motorcycle ride-hailing offering; three-wheel vehicles for culturally localized modes; carpooling shared mobility options; GrabRentals, which facilitates vehicle rental for its driver-partners; GrabPay, a digital payments solution; and GrabCoins, a loyalty platform. Further, it provides GrabFin for financial services comprising digital and offline lending, PayLater services, white goods financing, receivables factoring, and working capital loans; GrabInsure, aprotection for rides and package deliveries, personal accident insurance, income protection insurance, critical illness insurance, vehicle insurance, and travel insurance; GrabLink, a payment gateway and acquiring service; Digibank Savings Account, a digital banking deposit account. Additionally, the company offers GX Bank debit cards; GXS FlexiCard, a fee-based credit card; and mapping services, autonomous vehicle services, and last-mile delivery infrastructure. Grab Holdings Limited was founded in 2012 and is headquartered in Singapore, Singapore.
GRAB passes 2 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Grab Holdings Limited (GRAB) undervalued?
Against our discounted cash flow estimate of USD1.59, GRAB at USD3.73 is 57% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is GRAB's P/E ratio?
GRAB trades at 98.5 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.