Ricegrowers Limited, trading as SunRice (ASX:SGLLV) has been the strongest performing stock across our selected FMCG peer group from a share price perspective since June 2025, rising 66% against a peer average +10% and closest peer (Ebro Foods) +4%. ASX300 index inclusion (September 2025) appears the driver of the most recent price rally, closing the historical EV/EBITDA multiple discount to peers. While wary of chasing the share price, we have previously alluded to some wiggle room with the beta we use in deriving our DCF valuation. We have undertaken a peer analysis looking at the monthly five-year calculated London Stock Exchange Group (LSEG) beta against a range of financial risk measurements. We conclude that SGLLV deserves to trade at the mid-point of peer calculated betas and lower our beta assumption in our DCF from 1.0x to 0.75x accordingly, which is still above the LSEG calculated beta (0.46x). Our DCF valuation as a result increases from $14.40/share to $19.10/share, which would see SGLLV trade at a slight premium to the peer group average.
