Star Entertainment Group Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Share Price vs Fair Value

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

Below Fair Value: SGR (A$0.21) is trading below our estimate of fair value (A$0.81)

Significantly Below Fair Value: SGR is trading below fair value by more than 20%.

Key Valuation Metric

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

Key metric: As SGR is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SGR. This is calculated by dividing SGR's market cap by their current revenue.
What is SGR's PS Ratio?
PS Ratio	0.4x
Sales	AU$1.68b
Market Cap	AU$587.64m

SGR 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	0.4x
Enterprise Value/EBITDA	4.9x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does SGR's PS Ratio compare to its peers?

The above table shows the PS ratio for SGR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	2x
JIN Jumbo Interactive	5.3x	5.2%	AU$850.2m
TAH Tabcorp Holdings	0.5x	3.9%	AU$1.3b
PBH PointsBet Holdings	1.3x	11.1%	AU$324.7m
AGI Ainsworth Game Technology	0.9x	0.5%	AU$249.2m
SGR Star Entertainment Group	0.4x	-0.7%	AU$587.6m

Price-To-Sales vs Peers: SGR is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (2x).

Price to Sales Ratio vs Industry

How does SGR's PS Ratio compare vs other companies in the AU Hospitality Industry?

2 Companies	Price / Sales	Estimated Growth	Market Cap
OLI Oliver's Real Food	0.2x	n/a	US$2.87m
MCL Mighty Craft	0.02x	n/a	US$1.26m

No more companies available in this PS range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: SGR is good value based on its Price-To-Sales Ratio (0.4x) compared to the Australian Hospitality industry average (1.5x).

Price to Sales Ratio vs Fair Ratio

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

SGR PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.4x
Fair PS Ratio	1x

Price-To-Sales vs Fair Ratio: SGR is good value based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (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 SGR 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	AU$0.21	AU$0.28 +32.1%	32.2%	AU$0.50	AU$0.22	n/a	8
Nov ’25	AU$0.23	AU$0.28 +23.3%	32.2%	AU$0.50	AU$0.22	n/a	8
Oct ’25	AU$0.28	AU$0.40 +46.6%	36.7%	AU$0.67	AU$0.22	n/a	9
Sep ’25	AU$0.45	AU$0.54 +20.5%	23.4%	AU$0.86	AU$0.43	n/a	9
Aug ’25	AU$0.57	AU$0.54 -5.7%	23.4%	AU$0.86	AU$0.43	n/a	9
Jul ’25	AU$0.49	AU$0.54 +9.5%	23.4%	AU$0.86	AU$0.43	n/a	9
Jun ’25	AU$0.45	AU$0.58 +29.1%	22.8%	AU$0.90	AU$0.43	n/a	9
May ’25	AU$0.40	AU$0.58 +45.3%	22.8%	AU$0.90	AU$0.43	n/a	9
Apr ’25	AU$0.57	AU$0.64 +11.3%	19.0%	AU$0.90	AU$0.47	n/a	9
Mar ’25	AU$0.52	AU$0.64 +23.5%	18.4%	AU$0.90	AU$0.49	n/a	9
Feb ’25	AU$0.55	AU$0.82 +49.8%	24.0%	AU$1.20	AU$0.49	n/a	8
Jan ’25	AU$0.52	AU$0.92 +78.9%	23.6%	AU$1.33	AU$0.70	n/a	8
Dec ’24	AU$0.51	AU$0.98 +92.4%	19.4%	AU$1.33	AU$0.75	n/a	7
Nov ’24	AU$0.54	AU$0.99 +82.5%	19.2%	AU$1.33	AU$0.75	AU$0.23	7
Oct ’24	AU$0.61	AU$1.04 +70.9%	22.3%	AU$1.44	AU$0.75	AU$0.28	8
Sep ’24	AU$0.98	AU$1.35 +38.0%	14.0%	AU$1.80	AU$1.10	AU$0.45	9
Aug ’24	AU$1.06	AU$1.42 +34.7%	15.6%	AU$1.80	AU$1.09	AU$0.57	10
Jul ’24	AU$1.16	AU$1.60 +38.6%	31.9%	AU$3.00	AU$1.09	AU$0.49	10
Jun ’24	AU$1.18	AU$1.63 +38.6%	28.3%	AU$3.00	AU$1.20	AU$0.45	11
May ’24	AU$1.27	AU$1.64 +29.3%	27.7%	AU$3.00	AU$1.20	AU$0.40	11
Apr ’24	AU$1.43	AU$1.73 +20.7%	25.3%	AU$3.00	AU$1.20	AU$0.57	11
Mar ’24	AU$1.44	AU$1.76 +22.1%	24.4%	AU$3.00	AU$1.20	AU$0.52	12
Feb ’24	AU$1.93	AU$2.86 +48.3%	20.7%	AU$3.75	AU$1.80	AU$0.55	13
Jan ’24	AU$1.77	AU$2.95 +66.5%	17.2%	AU$3.75	AU$1.90	AU$0.52	13
Dec ’23	AU$2.65	AU$3.22 +21.5%	13.5%	AU$3.90	AU$2.11	AU$0.51	13
Nov ’23	AU$3.01	AU$3.33 +10.6%	14.4%	AU$3.90	AU$2.11	AU$0.54	13

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.