ABSTRACT
This study is aimed to estimate the fair value of textile and garment companies share. The companies being studied are listed in Indonesia Stock Exchange, using data from 2013-2017 as the basis for the 2018-2022 projection. The methodology for company valuation was the Dividend Discounted Model and Relative Valuation. RV was applied using the combination of Price Earnings Ratio and Price Book Value. What is the fair value of SRIL-PBRX-TRIS-RICY shares by using the DDM method and comparing with the RV method in pessimistic, moderate and optimistic scenarios? The results showed that using the DDM method, the fair value of RICY-TRIS-PBRX-SRIL in all scenarios were overvalued. Except for RICY, in the optimistic scenario was undervalued. The RV PER-PBV method shows that the value of RICY-TRIS-PBRX-SRIL is still within the IDX market range Q1-2018. The recommendation for investors is to buy shares at undervalued conditions and sell them in overvalued conditions.
