Inspur Software Co., Ltd.

XSSC:600756 Stock Report

Market Cap: CN¥4.9b

Inspur Software Valuation

Is 600756 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 600756 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 600756 (CN¥15.06) is trading above our estimate of fair value (CN¥0.59)

Significantly Below Fair Value: 600756 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 600756?

Key metric: As 600756 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 600756. This is calculated by dividing 600756's market cap by their current revenue.
What is 600756's PS Ratio?
PS Ratio2.2x
SalesCN¥2.23b
Market CapCN¥4.88b

Price to Sales Ratio vs Peers

How does 600756's PS Ratio compare to its peers?

The above table shows the PS ratio for 600756 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.1x
688023 DBAPPSecurity
2.4x18.2%CN¥5.0b
002380 Nanjing Sciyon Wisdom Technology Group
2.9x30.2%CN¥4.6b
300523 Beijing Global Safety Technology
2.9xn/aCN¥5.6b
300380 Shanghai Amarsoft Information & TechnologyLtd
8.2xn/aCN¥7.5b
600756 Inspur Software
2.2xn/aCN¥4.9b

Price-To-Sales vs Peers: 600756 is good value based on its Price-To-Sales Ratio (2.2x) compared to the peer average (4.1x).

Price to Sales Ratio vs Industry

How does 600756's PS Ratio compare vs other companies in the CN Software Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
300038 Beijing Shuzhi TechnologyLtd
0.2xn/aUS$52.48m
688555 Essence Information Technology
0.7xn/aUS$12.88m
No more companies available in this PS range
600756 2.2xIndustry Avg. 6.9xNo. of Companies20PS048121620+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 600756 is good value based on its Price-To-Sales Ratio (2.2x) compared to the CN Software industry average (6.9x).

Price to Sales Ratio vs Fair Ratio

What is 600756'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.

600756 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.2x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 600756's Price-To-Sales 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.

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