Sorted Group Holdings Plc

DB:59L Stock Report

Market Cap: €5.2m

Sorted Group Holdings Valuation

Is 59L 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 59L when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 59L (€0.65) is trading below our estimate of fair value (€8.31)

Significantly Below Fair Value: 59L is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 59L?

Key metric: As 59L is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 59L. This is calculated by dividing 59L's market cap by their current earnings.
What is 59L's PE Ratio?
PE Ratio3x
EarningsUK£1.43m
Market CapUK£4.35m

Price to Earnings Ratio vs Peers

How does 59L's PE Ratio compare to its peers?

The above table shows the PE ratio for 59L vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average38.9x
SE3 Smart Equity
58.4xn/a€5.0m
DTD2 B+S Banksysteme
10.5x5.3%€12.9m
CPU2 CPU Softwarehouse
84xn/a€4.4m
CLIQ Cliq Digital
2.9x59.3%€23.9m
59L Sorted Group Holdings
3xn/a€4.4m

Price-To-Earnings vs Peers: 59L is good value based on its Price-To-Earnings Ratio (3x) compared to the peer average (38.5x).

Price to Earnings Ratio vs Industry

How does 59L's PE Ratio compare vs other companies in the European Software Industry?

8 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.27.2x39.6%
59L Sorted Group Holdings
 3xn/aUS$5.53m
59L 3.0xIndustry Avg. 27.2xNo. of Companies19PE020406080100+
8 CompaniesEstimated GrowthMarket Cap
Industry Avg.27.2x39.6%
59L Sorted Group Holdings
 3xn/aUS$5.53m
No more companies

Price-To-Earnings vs Industry: 59L is good value based on its Price-To-Earnings Ratio (3x) compared to the European Software industry average (26.9x).

Price to Earnings Ratio vs Fair Ratio

What is 59L'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.

59L PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 59L's Price-To-Earnings 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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