Hybrid Software Group Valuation

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

HYSG (€3.48) is trading below our estimate of [[fair value]] (€23.26)

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

Below Fair Value: HYSG (€3.48) is trading below our estimate of fair value (€23.26)

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

Key Valuation Metric

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

Key metric: As HYSG is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HYSG. This is calculated by dividing HYSG's market cap by their current earnings.
What is HYSG's PE Ratio?
PE Ratio	30.1x
Earnings	€3.80m
Market Cap	€114.32m

HYSG 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	2.3x
Enterprise Value/EBITDA	46.7x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for HYSG 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	55.4x
ECONB Econocom Group	6.1x	9.9%	€349.0m
9687 KSKLtd	11.4x	n/a	JP¥18.2b
FPIP Formpipe Software	41.7x	40.3%	SEK 1.4b
RS2 RS2	162.2x	n/a	€104.8m
HYSG Hybrid Software Group	30.1x	n/a	€114.3m

Price-To-Earnings vs Peers: HYSG is good value based on its Price-To-Earnings Ratio (30.1x) compared to the peer average (55.3x).

Price to Earnings Ratio vs Industry

How does HYSG's PE Ratio compare vs other companies in the European Software Industry?

5 Companies	Price / Earnings	Estimated Growth	Market Cap

5 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: HYSG is expensive based on its Price-To-Earnings Ratio (30.1x) compared to the European Software industry average (28.5x).

Price to Earnings Ratio vs Fair Ratio

What is HYSG'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.

HYSG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	30.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate HYSG's Price-To-Earnings 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.