Shenzhou International Group Holdings Valuation

Q: What is the Fair Price of S6LA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

S6LA (€7.9) is trading below our estimate of [[fair value]] (€12.76)

Is S6LA 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 S6LA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: S6LA (€7.9) is trading below our estimate of fair value (€12.76)

Significantly Below Fair Value: S6LA is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for S6LA?

Key metric: As S6LA is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for S6LA. This is calculated by dividing S6LA's market cap by their current earnings.
What is S6LA's PE Ratio?
PE Ratio	15.9x
Earnings	CN¥5.36b
Market Cap	CN¥85.35b

S6LA 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	2.9x
Enterprise Value/EBITDA	11.8x
PEG Ratio	1.2x

Price to Earnings Ratio vs Peers

How does S6LA's PE Ratio compare to its peers?

The above table shows the PE ratio for S6LA 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	37.4x
ADS adidas	100.5x	38.1%	€38.3b
BOSS Hugo Boss	12.6x	13.1%	€2.7b
BIJ Bijou Brigitte modische Accessoires	11.2x	n/a	€269.5m
PUM PUMA	25.4x	18.6%	€6.5b
S6LA Shenzhou International Group Holdings	15.9x	12.8%	€91.7b

Price-To-Earnings vs Peers: S6LA is good value based on its Price-To-Earnings Ratio (15.9x) compared to the peer average (37.4x).

Price to Earnings Ratio vs Industry

How does S6LA's PE Ratio compare vs other companies in the European Luxury Industry?

4 Companies	Price / Earnings	Estimated Growth	Market Cap

4 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: S6LA is expensive based on its Price-To-Earnings Ratio (15.9x) compared to the European Luxury industry average (14.2x).

Price to Earnings Ratio vs Fair Ratio

What is S6LA'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.

S6LA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.9x
Fair PE Ratio	21.2x

Price-To-Earnings vs Fair Ratio: S6LA is good value based on its Price-To-Earnings Ratio (15.9x) compared to the estimated Fair Price-To-Earnings Ratio (21.2x).

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.