Sun Create Electronics Co., Ltd

XSSC:600990 Stock Report

Market Cap: CN¥6.5b

Sun Create Electronics Valuation

Is 600990 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • 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 600990 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 600990 (CN¥23.86) is trading above our estimate of fair value (CN¥6.25)

Significantly Below Fair Value: 600990 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 600990?

Key metric: As 600990 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 600990. This is calculated by dividing 600990's market cap by their current revenue.
What is 600990's PS Ratio?
PS Ratio3.4x
SalesCN¥1.94b
Market CapCN¥6.52b

Price to Sales Ratio vs Peers

How does 600990's PS Ratio compare to its peers?

The above table shows the PS ratio for 600990 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.1x
002383 Beijing UniStrong Science&TechnologyLtd
5.1xn/aCN¥6.7b
300252 Kingsignal Technology
3xn/aCN¥6.1b
603118 Shenzhen Gongjin Electronics
0.8x12.6%CN¥6.4b
600775 Nanjing Panda Electronics
3.5xn/aCN¥8.2b
600990 Sun Create Electronics
3.4x17.8%CN¥6.5b

Price-To-Sales vs Peers: 600990 is expensive based on its Price-To-Sales Ratio (3.4x) compared to the peer average (3.1x).

Price to Sales Ratio vs Industry

How does 600990's PS Ratio compare vs other companies in the CN Communications Industry?

4 CompaniesPrice / SalesEstimated GrowthMarket Cap
600487 Hengtong Optic-Electric
0.8x10.5%US$5.83b
600498 Fiberhome Telecommunication Technologies
0.7x13.7%US$2.97b
002396 Fujian Star-net Communication
0.6x18.9%US$1.41b
600260 Kaile Science and Technology Co;Ltd.Hubei
0.7xn/aUS$68.25m
No more companies available in this PS range
600990 3.4xIndustry Avg. 5.6xNo. of Companies11PS03.26.49.612.816+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 600990 is good value based on its Price-To-Sales Ratio (3.4x) compared to the CN Communications industry average (5.4x).

Price to Sales Ratio vs Fair Ratio

What is 600990'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.

600990 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio3.4x
Fair PS Ratio0.8x

Price-To-Sales vs Fair Ratio: 600990 is expensive based on its Price-To-Sales Ratio (3.4x) compared to the estimated Fair Price-To-Sales Ratio (0.8x).

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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