Shenzhen Sinovatio Technology Co., Ltd.

XSEC:002912 Stock Report

Market Cap: CN¥5.3b

Shenzhen Sinovatio Technology Valuation

Is 002912 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 002912 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 002912 (CN¥30.91) is trading below our estimate of fair value (CN¥228.73)

Significantly Below Fair Value: 002912 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 002912?

Key metric: As 002912 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 002912. This is calculated by dividing 002912's market cap by their current revenue.
What is 002912's PS Ratio?
PS Ratio9.5x
SalesCN¥555.51m
Market CapCN¥5.28b

Price to Sales Ratio vs Peers

How does 002912's PS Ratio compare to its peers?

The above table shows the PS ratio for 002912 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.5x
002376 Shandong New Beiyang Information Technology
2.1xn/aCN¥4.9b
002577 Shenzhen Rapoo Technology
10.2xn/aCN¥4.5b
301202 Suzhou Longway Eletronic Machinery
3.9xn/aCN¥4.6b
300787 Anfu CE LINK
1.7xn/aCN¥3.5b
002912 Shenzhen Sinovatio Technology
9.5x23.9%CN¥5.3b

Price-To-Sales vs Peers: 002912 is expensive based on its Price-To-Sales Ratio (9.5x) compared to the peer average (4.5x).

Price to Sales Ratio vs Industry

How does 002912's PS Ratio compare vs other companies in the CN Tech Industry?

5 CompaniesPrice / SalesEstimated GrowthMarket Cap
000977 Inspur Electronic Information Industry
0.7x6.9%US$9.59b
603296 Huaqin Technology
0.7x14.6%US$8.68b
603341 Shanghai Longcheer Technology
0.5xn/aUS$3.01b
000727 TPV Technology
0.2xn/aUS$1.84b
002912 9.5xIndustry Avg. 3.4xNo. of Companies7PS03.26.49.612.816+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 002912 is expensive based on its Price-To-Sales Ratio (9.5x) compared to the CN Tech industry average (3.3x).

Price to Sales Ratio vs Fair Ratio

What is 002912'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.

002912 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio9.5x
Fair PS Ratio13.7x

Price-To-Sales vs Fair Ratio: 002912 is good value based on its Price-To-Sales Ratio (9.5x) compared to the estimated Fair Price-To-Sales Ratio (13.7x).

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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