SGS Valuation

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

SGSN (CHF81.58) is trading below our estimate of [[fair value]] (CHF124.77)

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

Below Fair Value: SGSN (CHF81.58) is trading below our estimate of fair value (CHF124.77)

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

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for SGSN. This is calculated by dividing SGSN's market cap by their current preferred multiple.
What is SGSN's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	CHF 15.44b

SGSN 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	2.8x
Enterprise Value/EBITDA	15.9x
PEG Ratio	2.8x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SGSN 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	35.3x
ADEN Adecco Group	16.9x	26.0%	CHF 5.1b
J Jacobs Solutions	27.5x	18.5%	US$18.0b
LDOS Leidos Holdings	62.7x	32.6%	US$20.3b
BAH Booz Allen Hamilton Holding	33.9x	12.7%	US$20.5b
SGSN SGS	27.9x	9.8%	CHF 15.4b

Price-To-Earnings vs Peers: SGSN is good value based on its Price-To-Earnings Ratio (27.9x) compared to the peer average (35.3x).

Price to Earnings Ratio vs Industry

How does SGSN's PE Ratio compare vs other companies in the European Professional Services Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	11.4%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	11.4%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: SGSN is expensive based on its Price-To-Earnings Ratio (27.9x) compared to the European Professional Services industry average (18.8x).

Price to Earnings Ratio vs Fair Ratio

What is SGSN'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.

SGSN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	27.9x
Fair PE Ratio	21.9x

Price-To-Earnings vs Fair Ratio: SGSN is expensive based on its Price-To-Earnings Ratio (27.9x) compared to the estimated Fair Price-To-Earnings Ratio (21.9x).

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 SGSN 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	CHF 81.58	CHF 88.02 +7.9%	7.7%	CHF 100.00	CHF 73.00	n/a	20
Jul ’25	CHF 80.10	CHF 87.82 +9.6%	7.8%	CHF 100.00	CHF 73.00	n/a	20
Jun ’25	CHF 84.00	CHF 88.23 +5.0%	8.3%	CHF 100.00	CHF 73.00	n/a	19
May ’25	CHF 81.06	CHF 88.18 +8.8%	8.3%	CHF 100.00	CHF 73.00	n/a	19
Apr ’25	CHF 87.50	CHF 87.39 -0.1%	8.1%	CHF 100.00	CHF 73.00	n/a	19
Mar ’25	CHF 84.74	CHF 86.63 +2.2%	7.6%	CHF 95.00	CHF 73.00	n/a	18
Feb ’25	CHF 80.18	CHF 85.92 +7.2%	8.7%	CHF 101.00	CHF 73.00	n/a	18
Jan ’25	CHF 72.54	CHF 85.81 +18.3%	10.4%	CHF 101.00	CHF 66.00	n/a	18
Dec ’24	CHF 74.50	CHF 85.95 +15.4%	10.4%	CHF 101.00	CHF 66.00	n/a	18
Nov ’24	CHF 73.42	CHF 88.19 +20.1%	7.5%	CHF 101.00	CHF 77.00	n/a	16
Oct ’24	CHF 77.02	CHF 88.19 +14.5%	7.5%	CHF 101.00	CHF 77.00	n/a	16
Sep ’24	CHF 80.66	CHF 88.59 +9.8%	7.7%	CHF 101.00	CHF 77.00	n/a	17
Aug ’24	CHF 84.44	CHF 88.23 +4.5%	8.1%	CHF 103.00	CHF 77.00	n/a	18
Jul ’24	CHF 84.56	CHF 90.86 +7.4%	8.6%	CHF 104.00	CHF 75.00	CHF 80.10	18
Jun ’24	CHF 81.62	CHF 90.69 +11.1%	9.3%	CHF 104.00	CHF 76.00	CHF 84.00	19
May ’24	CHF 80.56	CHF 90.26 +12.0%	9.1%	CHF 104.00	CHF 76.00	CHF 81.06	18
Apr ’24	CHF 80.44	CHF 92.10 +14.5%	14.6%	CHF 136.00	CHF 76.00	CHF 87.50	17
Mar ’24	CHF 86.12	CHF 92.57 +7.5%	14.2%	CHF 136.00	CHF 76.00	CHF 84.74	17
Feb ’24	CHF 89.80	CHF 93.53 +4.1%	13.7%	CHF 136.00	CHF 77.64	CHF 80.18	16
Jan ’24	CHF 86.00	CHF 96.27 +11.9%	13.6%	CHF 136.00	CHF 77.64	CHF 72.54	17
Dec ’23	CHF 89.68	CHF 96.38 +7.5%	13.5%	CHF 136.00	CHF 77.64	CHF 74.50	17
Nov ’23	CHF 87.60	CHF 96.62 +10.3%	13.4%	CHF 136.00	CHF 77.64	CHF 73.42	18
Oct ’23	CHF 85.00	CHF 97.96 +15.2%	13.1%	CHF 136.00	CHF 77.64	CHF 77.02	19
Sep ’23	CHF 84.40	CHF 98.77 +17.0%	13.2%	CHF 136.00	CHF 77.64	CHF 80.66	19
Aug ’23	CHF 92.60	CHF 98.63 +6.5%	13.4%	CHF 136.00	CHF 77.64	CHF 84.44	19
Jul ’23	CHF 87.44	CHF 110.35 +26.2%	13.0%	CHF 136.00	CHF 84.88	CHF 84.56	19

Analyst Forecast: Target price is less than 20% higher than the current share price.