Thorn Group Valuation

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

Below Fair Value: TGA (A$1.17) is trading below our estimate of fair value (A$3.07)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for TGA. This is calculated by dividing TGA's market cap by their current revenue.
What is TGA's PS Ratio?
PS Ratio	2.9x
Sales	AU$14.13m
Market Cap	AU$40.50m

TGA 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	0.3x
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for TGA 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	0.3x
HT8 Harris Technology Group	0.2x	n/a	AU$3.0m
SRY Story-I	0.03x	n/a	AU$1.5m
CCX City Chic Collective	0.4x	7.7%	AU$53.4m
DSK Dusk Group	0.6x	7.2%	AU$73.5m
TGA Thorn Group	2.9x	n/a	AU$40.5m

Price-To-Sales vs Peers: TGA is expensive based on its Price-To-Sales Ratio (2.9x) compared to the peer average (1.1x).

Price to Sales Ratio vs Industry

How does TGA's PS Ratio compare vs other companies in the AU Specialty Retail Industry?

4 Companies	Price / Sales	Estimated Growth	Market Cap
PWR Peter Warren Automotive Holdings	0.1x	2.6%	US$194.50m
BKG Booktopia Group	0.06x	n/a	US$6.97m
MOZ Mosaic Brands	0.01x	n/a	US$4.18m
SRY Story-I	0.03x	n/a	US$994.66k

No more companies available in this PS range

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: TGA is expensive based on its Price-To-Sales Ratio (2.9x) compared to the Australian Specialty Retail industry average (0.7x).

Price to Sales Ratio vs Fair Ratio

What is TGA'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.

TGA PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	2.9x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate TGA'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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