Eildon Capital Fund

CHIA:EDC Stock Report

Market Cap: AU$43.0m

Eildon Capital Fund Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 EDC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EDC (A$0.91) is trading above our estimate of fair value (A$0.26)

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

Key Valuation Metric

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

Key metric: As EDC is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for EDC. This is calculated by dividing EDC's market cap by their current revenue.
What is EDC's PS Ratio?
PS Ratio5.4x
SalesAU$7.94m
Market CapAU$42.98m

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for EDC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average8.3x
AVC Auctus Investment Group
5.7xn/aAU$43.8m
NGE NGE Capital
9.8xn/aAU$40.2m
SB2 Salter Brothers Emerging Companies
8xn/aAU$62.8m
KAT Katana Capital
9.8xn/aAU$38.4m
EDC Eildon Capital Fund
5.4xn/aAU$43.0m

Price-To-Sales vs Peers: EDC is good value based on its Price-To-Sales Ratio (5.4x) compared to the peer average (8.3x).

Price to Sales Ratio vs Industry

How does EDC's PS Ratio compare vs other companies in the AU Capital Markets Industry?

22 CompaniesPrice / SalesEstimated GrowthMarket Cap
PPT Perpetual
1.7x2.9%US$1.53b
IFL Insignia Financial
1.1x-7.0%US$1.38b
MAF MA Financial Group
1.1x-32.2%US$669.33m
BFG Bell Financial Group
1.7x4.4%US$263.78m
EDC 5.4xIndustry Avg. 5.6xNo. of Companies22PS0816243240+
22 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: EDC is good value based on its Price-To-Sales Ratio (5.4x) compared to the Australian Capital Markets industry average (5.6x).

Price to Sales Ratio vs Fair Ratio

What is EDC'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.

EDC PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio5.4x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate EDC's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.

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