Pinming Technology Valuation

Q: What is the Fair Price of 688109 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

688109 (CN¥28.69) is trading below our estimate of [[fair value]] (CN¥100.34)

Is 688109 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

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 688109 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 688109 (CN¥28.69) is trading below our estimate of fair value (CN¥100.34)

Significantly Below Fair Value: 688109 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 688109?

Key metric: As 688109 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 688109. This is calculated by dividing 688109's market cap by their current earnings.
What is 688109's PE Ratio?
PE Ratio	55.3x
Earnings	CN¥40.26m
Market Cap	CN¥2.19b

688109 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	4.3x
Enterprise Value/EBITDA	76.2x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 688109's PE Ratio compare to its peers?

The above table shows the PE ratio for 688109 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	67.3x
301197 Hebei Gongda Keya Energy TechnologyLtd	52.8x	n/a	CN¥1.9b
688078 Beijing LongRuan Technologies	30.3x	34.2%	CN¥2.1b
301185 Shandong Shanda OumasoftLTD	41.8x	n/a	CN¥2.9b
688682 Shanghai Hollywave Electronic System	144.4x	n/a	CN¥2.7b
688109 Pinming Technology	55.3x	n/a	CN¥2.2b

Price-To-Earnings vs Peers: 688109 is good value based on its Price-To-Earnings Ratio (55.3x) compared to the peer average (67.5x).

Price to Earnings Ratio vs Industry

How does 688109's PE Ratio compare vs other companies in the CN Software Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
000606 Shunliban Information ServiceLtd	2.7x	n/a	US$29.57m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 688109 is good value based on its Price-To-Earnings Ratio (55.3x) compared to the CN Software industry average (94.3x).

Price to Earnings Ratio vs Fair Ratio

What is 688109'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.

688109 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	55.3x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 688109'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.