Netweek Valuation

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

Below Fair Value: DMM (€0.01) is trading below our estimate of fair value (€6.29)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for DMM. This is calculated by dividing DMM's market cap by their current revenue.
What is DMM's PS Ratio?
PS Ratio	0.03x
Sales	€28.74m
Market Cap	€822.16k

DMM 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	0.4x
Enterprise Value/EBITDA	-1x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for DMM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	0.9x
SBV Schwabenverlag	0.2x	n/a	€1.6m
G6P0 Going Public Media	0.8x	n/a	€1.4m
MF8 Cash.Medien	2.2x	n/a	€4.4m
8450 Sociallite US	0.2x	n/a	€263.7k
DMM Netweek	0.03x	n/a	€822.2k

Price-To-Sales vs Peers: DMM is good value based on its Price-To-Sales Ratio (0x) compared to the peer average (0.9x).

Price to Sales Ratio vs Industry

How does DMM's PS Ratio compare vs other companies in the DE Media Industry?

3 Companies	Price / Sales	Estimated Growth	Market Cap
Industry Avg.	0.7x	4.3%
DMM Netweek	0.03x	n/a	US$867.72k
53Y Bonhill Group	0.02x	n/a	US$398.20k
69R Aventura Group	0.09x	n/a	US$242.86k

No more companies available in this PS range

3 Companies		Estimated Growth	Market Cap
Industry Avg.	0.7x	16.0%
DMM Netweek	0.03x	n/a	US$867.72k

No more companies

Price-To-Sales vs Industry: DMM is good value based on its Price-To-Sales Ratio (0x) compared to the European Media industry average (0.7x).

Price to Sales Ratio vs Fair Ratio

What is DMM'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.

DMM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.03x
Fair PS Ratio	n/a

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

Discover undervalued companies

illumin Holdings

CA$93.0m

A technology company, provides digital media solutions in the United States, Canada, Europe, Latin America, and internationally.

K3S0

CA$1.21

5.2%

31.5%

Obiz

€26.7m

Provides relationship marketing and customer loyalty solutions in France and internationally.

2GD

€4.26

3.1%

-24.7%

Ten Square Games

zł491.8m

Provides mobile games worldwide.

1HQ

zł17.89

1.8%

-12.1%