Huatu Cendes Valuation

Q: What is the Fair Price of 300492 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

300492 (CN¥69.85) is trading above our estimate of [[fair value]] (CN¥4.56)

Is 300492 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 300492 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 300492 (CN¥69.85) is trading above our estimate of fair value (CN¥4.56)

Significantly Below Fair Value: 300492 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 300492?

Key metric: As 300492 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 300492. This is calculated by dividing 300492's market cap by their current revenue.
What is 300492's PS Ratio?
PS Ratio	4.2x
Sales	CN¥2.33b
Market Cap	CN¥9.81b

300492 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	4x
Enterprise Value/EBITDA	116.1x
PEG Ratio	3.9x

Price to Sales Ratio vs Peers

How does 300492's PS Ratio compare to its peers?

The above table shows the PS ratio for 300492 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	9.5x
603909 C&D Holsin Engineering Consulting	0.4x	n/a	CN¥2.5b
002967 GRG Metrology & Test Group	3.2x	13.1%	CN¥9.7b
301508 China Machinery Huanyu Certification and Inspection	10.9x	n/a	CN¥8.4b
301215 CATARC Automotive Proving GroundLtd	23.4x	29.2%	CN¥8.6b
300492 Huatu Cendes	4.2x	22.5%	CN¥9.8b

Price-To-Sales vs Peers: 300492 is good value based on its Price-To-Sales Ratio (4.2x) compared to the peer average (9.5x).

Price to Sales Ratio vs Industry

How does 300492's PS Ratio compare vs other companies in the CN Professional Services Industry?

8 Companies	Price / Sales	Estimated Growth	Market Cap
600662 Shanghai Foreign Service Holding Group	0.6x	17.4%	US$1.66b
600861 FESCO Group	0.3x	15.1%	US$1.51b
600629 Arcplus Group	0.8x	14.5%	US$1.02b
300662 Beijing Career International	0.4x	17.4%	US$578.10m

8 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 300492 is expensive based on its Price-To-Sales Ratio (4.2x) compared to the CN Professional Services industry average (3.8x).

Price to Sales Ratio vs Fair Ratio

What is 300492'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.

300492 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	4.2x
Fair PS Ratio	4.5x

Price-To-Sales vs Fair Ratio: 300492 is good value based on its Price-To-Sales Ratio (4.2x) compared to the estimated Fair Price-To-Sales Ratio (4.5x).

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.