M.T.I Wireless Edge Valuation

Q: What is the Fair Price of MWE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

MWE (£0.44) is trading above our estimate of [[fair value]] (£0.36)

Is MWE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MWE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MWE (£0.44) is trading above our estimate of fair value (£0.36)

Significantly Below Fair Value: MWE is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MWE?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for MWE. This is calculated by dividing MWE's market cap by their current preferred multiple.
What is MWE's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	US$49.83m

MWE key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1x
Enterprise Value/EBITDA	7.8x
PEG Ratio	3.5x

Price to Earnings Ratio vs Peers

How does MWE's PE Ratio compare to its peers?

The above table shows the PE ratio for MWE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	51.7x
FTC Filtronic	46.9x	n/a	UK£147.2m
TST Touchstar	15.1x	n/a	UK£9.0m
SPT Spirent Communications	98.1x	40.5%	UK£996.0m
VNET Vianet Group	46.6x	n/a	UK£37.3m
MWE M.T.I Wireless Edge	12x	3.5%	UK£38.0m

Price-To-Earnings vs Peers: MWE is good value based on its Price-To-Earnings Ratio (12x) compared to the peer average (51.7x).

Price to Earnings Ratio vs Industry

How does MWE's PE Ratio compare vs other companies in the European Communications Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	59.5%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	59.5%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: MWE is good value based on its Price-To-Earnings Ratio (12x) compared to the European Communications industry average (28.8x).

Price to Earnings Ratio vs Fair Ratio

What is MWE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MWE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	12x
Fair PE Ratio	16.1x

Price-To-Earnings vs Fair Ratio: MWE is good value based on its Price-To-Earnings Ratio (12x) compared to the estimated Fair Price-To-Earnings Ratio (16.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MWE forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	UK£0.44	UK£0.76 +73.2%	4.5%	UK£0.80	UK£0.73	n/a	2
Oct ’25	UK£0.51	UK£0.76 +50.9%	4.5%	UK£0.80	UK£0.73	n/a	2
Sep ’25	UK£0.40	UK£0.77 +93.1%	3.4%	UK£0.80	UK£0.75	n/a	2
Aug ’25	UK£0.39	UK£0.77 +101.3%	3.2%	UK£0.80	UK£0.75	n/a	2
Jul ’25	UK£0.40	UK£0.77 +96.2%	3.2%	UK£0.80	UK£0.75	n/a	2
Jun ’25	UK£0.45	UK£0.77 +74.1%	3.2%	UK£0.80	UK£0.75	n/a	2
May ’25	UK£0.42	UK£0.78 +85.5%	2.6%	UK£0.80	UK£0.76	n/a	2
Apr ’25	UK£0.46	UK£0.78 +69.1%	3.6%	UK£0.81	UK£0.75	n/a	2
Mar ’25	UK£0.35	UK£0.76 +115.5%	2.2%	UK£0.78	UK£0.75	n/a	2
Feb ’25	UK£0.37	UK£0.76 +106.7%	2.2%	UK£0.78	UK£0.75	n/a	2
Jan ’25	UK£0.34	UK£0.77 +123.2%	2.9%	UK£0.79	UK£0.75	n/a	2
Dec ’24	UK£0.34	UK£0.77 +129.9%	2.9%	UK£0.79	UK£0.75	n/a	2
Nov ’24	UK£0.34	UK£0.92 +167.3%	2.3%	UK£0.94	UK£0.90	n/a	2
Oct ’24	UK£0.44	UK£0.92 +109.6%	2.3%	UK£0.94	UK£0.90	UK£0.51	2
Sep ’24	UK£0.45	UK£0.90 +101.8%	0.02%	UK£0.90	UK£0.90	UK£0.40	2
Aug ’24	UK£0.43	UK£0.88 +103.3%	1.7%	UK£0.90	UK£0.87	UK£0.39	2
Jul ’24	UK£0.45	UK£0.90 +102.6%	0.3%	UK£0.90	UK£0.90	UK£0.40	2
Jun ’24	UK£0.48	UK£0.90 +87.8%	0.3%	UK£0.90	UK£0.90	UK£0.45	2
May ’24	UK£0.52	UK£0.90 +73.6%	0.1%	UK£0.90	UK£0.90	UK£0.42	2
Apr ’24	UK£0.51	UK£0.90 +76.1%	0.02%	UK£0.90	UK£0.90	UK£0.46	2
Mar ’24	UK£0.50	UK£0.90 +79.0%	0.8%	UK£0.90	UK£0.89	UK£0.35	2
Feb ’24	UK£0.52	UK£0.90 +73.8%	0.8%	UK£0.90	UK£0.89	UK£0.37	2
Jan ’24	UK£0.55	UK£0.90 +62.8%	0.8%	UK£0.90	UK£0.89	UK£0.34	2
Dec ’23	UK£0.55	UK£0.90 +62.8%	0.8%	UK£0.90	UK£0.89	UK£0.34	2
Nov ’23	UK£0.49	UK£0.95 +94.1%	4.8%	UK£1.00	UK£0.91	UK£0.34	2
Oct ’23	UK£0.48	UK£0.92 +91.2%	1.4%	UK£0.93	UK£0.91	UK£0.44	2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.