Perfect World Co., Ltd.

XSEC:002624 Stock Report

Market Cap: CN¥23.5b

Perfect World Valuation

Is 002624 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-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 002624 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 002624 (CN¥11.8) is trading above our estimate of fair value (CN¥10.69)

Significantly Below Fair Value: 002624 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 002624?

Key metric: As 002624 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 002624. This is calculated by dividing 002624's market cap by their current revenue.
What is 002624's PS Ratio?
PS Ratio4.1x
SalesCN¥5.67b
Market CapCN¥23.47b

Price to Sales Ratio vs Peers

How does 002624's PS Ratio compare to its peers?

The above table shows the PS ratio for 002624 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average11.9x
300459 Zhejiang Jinke Tom Culture Industry
18.4xn/aCN¥21.9b
300315 Ourpalm
17.4x7.3%CN¥16.2b
603444 G-bits Network Technology (Xiamen)
3.9x11.7%CN¥14.2b
002558 Giant Network Group
8x13.4%CN¥23.1b
002624 Perfect World
4.1x21.4%CN¥23.5b

Price-To-Sales vs Peers: 002624 is good value based on its Price-To-Sales Ratio (4.1x) compared to the peer average (11.9x).

Price to Sales Ratio vs Industry

How does 002624's PS Ratio compare vs other companies in the CN Entertainment Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
002502 Dinglong CultureLtd
0.9xn/aUS$82.97m
000673 Lead Eastern InvestmentLtd
1.2xn/aUS$29.46m
No more companies available in this PS range
002624 4.1xIndustry Avg. 6.7xNo. of Companies9PS0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 002624 is good value based on its Price-To-Sales Ratio (4.1x) compared to the CN Entertainment industry average (6.7x).

Price to Sales Ratio vs Fair Ratio

What is 002624'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.

002624 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.1x
Fair PS Ratio7.8x

Price-To-Sales vs Fair Ratio: 002624 is good value based on its Price-To-Sales Ratio (4.1x) compared to the estimated Fair Price-To-Sales Ratio (7.8x).

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 002624 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥11.80
CN¥10.78
-8.6%
26.0%CN¥15.20CN¥6.00n/a9
Nov ’25CN¥9.73
CN¥9.67
-0.6%
24.5%CN¥13.50CN¥5.70n/a10
Oct ’25CN¥9.60
CN¥9.01
-6.2%
25.1%CN¥13.50CN¥5.70n/a10
Sep ’25CN¥7.60
CN¥9.54
+25.5%
24.8%CN¥13.50CN¥5.70n/a10
Aug ’25CN¥7.91
CN¥10.16
+28.4%
20.3%CN¥13.50CN¥7.50n/a10
Jul ’25CN¥7.62
CN¥10.91
+43.1%
17.3%CN¥13.50CN¥7.50n/a10
Jun ’25CN¥9.24
CN¥11.06
+19.7%
16.5%CN¥13.50CN¥7.50n/a10
May ’25CN¥10.00
CN¥11.06
+10.6%
16.5%CN¥13.50CN¥7.50n/a10
Apr ’25CN¥11.33
CN¥14.25
+25.8%
17.7%CN¥19.20CN¥10.90n/a10
Mar ’25CN¥11.74
CN¥14.25
+21.4%
17.7%CN¥19.20CN¥10.90n/a10
Feb ’25CN¥9.68
CN¥14.25
+47.2%
17.7%CN¥19.20CN¥10.90n/a10
Jan ’25CN¥11.84
CN¥15.27
+29.0%
19.0%CN¥22.09CN¥11.70n/a11
Dec ’24CN¥13.28
CN¥15.25
+14.8%
18.2%CN¥22.09CN¥11.70n/a12
Nov ’24CN¥12.12
CN¥16.08
+32.7%
20.1%CN¥22.09CN¥11.70CN¥9.7312
Oct ’24CN¥13.20
CN¥17.87
+35.3%
15.2%CN¥22.09CN¥13.00CN¥9.6013
Sep ’24CN¥13.93
CN¥19.36
+39.0%
16.2%CN¥24.51CN¥13.60CN¥7.6014
Aug ’24CN¥15.09
CN¥21.32
+41.3%
14.7%CN¥26.00CN¥14.97CN¥7.9114
Jul ’24CN¥16.89
CN¥22.36
+32.4%
15.2%CN¥26.40CN¥14.78CN¥7.6214
Jun ’24CN¥18.85
CN¥22.26
+18.1%
16.6%CN¥26.40CN¥14.78CN¥9.2413
May ’24CN¥21.92
CN¥20.80
-5.1%
22.7%CN¥26.40CN¥12.70CN¥10.0013
Apr ’24CN¥17.02
CN¥16.58
-2.6%
15.9%CN¥20.53CN¥12.00CN¥11.3313
Mar ’24CN¥14.54
CN¥16.63
+14.4%
16.1%CN¥20.53CN¥12.00CN¥11.7413
Feb ’24CN¥14.15
CN¥16.58
+17.2%
15.9%CN¥20.53CN¥12.00CN¥9.6813
Jan ’24CN¥12.72
CN¥17.09
+34.4%
16.7%CN¥20.70CN¥12.00CN¥11.8411
Dec ’23CN¥13.73
CN¥17.09
+24.5%
16.7%CN¥20.70CN¥12.00CN¥13.2811
Nov ’23CN¥11.77
CN¥17.09
+45.2%
16.7%CN¥20.70CN¥12.00CN¥12.1211

Analyst Forecast: Target price is lower than the current share price.

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