What Is Mango Excellent Media Co., Ltd.'s (SZSE:300413) Share Price Doing?

Mango Excellent Media Co., Ltd. (SZSE:300413), might not be a large cap stock, but it saw a double-digit share price rise of over 10% in the past couple of months on the SZSE. Shareholders may appreciate the recent price jump, but the company still has a way to go before reaching its yearly highs again. With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price. However, could the stock still be trading at a relatively cheap price? Let’s examine Mango Excellent Media’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.

View our latest analysis for Mango Excellent Media

What's The Opportunity In Mango Excellent Media?

The stock seems fairly valued at the moment according to our valuation model. It’s trading around 18.90% above our intrinsic value, which means if you buy Mango Excellent Media today, you’d be paying a relatively reasonable price for it. And if you believe the company’s true value is CN¥23.10, there’s only an insignificant downside when the price falls to its real value. Furthermore, Mango Excellent Media’s low beta implies that the stock is less volatile than the wider market.

Can we expect growth from Mango Excellent Media?

Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. However, with an extremely negative double-digit change in profit expected over the next couple of years, near-term growth is certainly not a driver of a buy decision. It seems like high uncertainty is on the cards for Mango Excellent Media, at least in the near future.

What This Means For You

Are you a shareholder? Currently, 300413 appears to be trading around its fair value, but given the uncertainty from negative returns in the future, this could be the right time to reduce the risk in your portfolio. Is your current exposure to the stock optimal for your total portfolio? And is the opportunity cost of holding a negative-outlook stock too high? Before you make a decision on the stock, take a look at whether its fundamentals have changed.

Are you a potential investor? If you’ve been keeping an eye on 300413 for a while, now may not be the most advantageous time to buy, given it is trading around its fair value. The price seems to be trading at fair value, which means there’s less benefit from mispricing. In addition to this, the negative growth outlook increases the risk of holding the stock. However, there are also other important factors we haven’t considered today, which can help gel your views on 300413 should the price fluctuate below its true value.

So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. To that end, you should learn about the 3 warning signs we've spotted with Mango Excellent Media (including 2 which are a bit unpleasant).

If you are no longer interested in Mango Excellent Media, you can use our free platform to see our list of over 50 other stocks with a high growth potential.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.