WALLIX GROUP Valuation

Q: What is the Fair Price of 3WG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

3WG (€8.22) is trading below our estimate of [[fair value]] (€82.31)

Is 3WG 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 3WG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3WG (€8.22) is trading below our estimate of fair value (€82.31)

Significantly Below Fair Value: 3WG is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3WG?

Key metric: As 3WG is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 3WG. This is calculated by dividing 3WG's market cap by their current revenue.
What is 3WG's PS Ratio?
PS Ratio	1.5x
Sales	€33.44m
Market Cap	€49.09m

3WG 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	1.2x
Enterprise Value/EBITDA	-4.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 3WG's PS Ratio compare to its peers?

The above table shows the PS ratio for 3WG 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	3.5x
EXL Exasol	1.5x	13.0%	€56.9m
CYR cyan	9.2x	28.1%	€54.1m
IVU IVU Traffic Technologies	1.8x	n/a	€231.1m
IXX init innovation in traffic systems	1.4x	13.2%	€354.6m
3WG WALLIX GROUP	1.5x	16.6%	€49.1m

Price-To-Sales vs Peers: 3WG is good value based on its Price-To-Sales Ratio (1.5x) compared to the peer average (3.8x).

Price to Sales Ratio vs Industry

How does 3WG's PS Ratio compare vs other companies in the DE Software Industry?

7 Companies	Price / Sales	Estimated Growth	Market Cap
CSH CENIT	0.4x	5.2%	US$73.94m
CLIQ Cliq Digital	0.09x	13.2%	US$25.72m
LSX LS telcom	0.5x	5.0%	US$21.11m
IVX InVision	0.6x	n/a	US$9.54m

7 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 3WG is good value based on its Price-To-Sales Ratio (1.5x) compared to the German Software industry average (2x).

Price to Sales Ratio vs Fair Ratio

What is 3WG'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.

3WG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.5x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 3WG'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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