PCCW Limited

DB:TH3B Stock Report

Market Cap: €4.2b

PCCW Valuation

Is TH3B undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • 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 TH3B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TH3B (€0.52) is trading below our estimate of fair value (€4.31)

Significantly Below Fair Value: TH3B is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TH3B?

Key metric: As TH3B is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for TH3B. This is calculated by dividing TH3B's market cap by their current revenue.
What is TH3B's PS Ratio?
PS Ratio0.9x
SalesHK$37.20b
Market CapHK$34.11b

Price to Sales Ratio vs Peers

How does TH3B's PS Ratio compare to its peers?

The above table shows the PS ratio for TH3B vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.9x
O2D Telefónica Deutschland Holding
0.7x-1.3%€6.3b
UTDI United Internet
0.4x3.9%€2.6b
DTE Deutsche Telekom
1.2x2.7%€141.9b
FNTN freenet
1.2x0.3%€3.2b
TH3B PCCW
0.9x2.6%€34.1b

Price-To-Sales vs Peers: TH3B is expensive based on its Price-To-Sales Ratio (0.9x) compared to the peer average (0.9x).

Price to Sales Ratio vs Industry

How does TH3B's PS Ratio compare vs other companies in the European Telecom Industry?

4 CompaniesPrice / SalesEstimated GrowthMarket Cap
TH3B 0.9xIndustry Avg. 1.0xNo. of Companies11PS012345+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: TH3B is good value based on its Price-To-Sales Ratio (0.9x) compared to the European Telecom industry average (1x).

Price to Sales Ratio vs Fair Ratio

What is TH3B'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.

TH3B PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.9x
Fair PS Ratio0.8x

Price-To-Sales vs Fair Ratio: TH3B is expensive based on its Price-To-Sales Ratio (0.9x) 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?

The above table shows the analyst TH3B forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.52
€0.52
-0.1%
11.6%€0.61€0.47n/a3
Dec ’25€0.53
€0.52
-2.0%
11.6%€0.61€0.47n/a3
Nov ’25€0.49
€0.49
+1.1%
11.6%€0.57€0.45n/a3
Oct ’25€0.49
€0.49
-0.2%
11.6%€0.57€0.45n/a3
Sep ’25€0.49
€0.48
-2.3%
11.1%€0.54€0.41n/a3
Aug ’25€0.46
€0.48
+2.6%
11.1%€0.54€0.41n/a3
Jul ’25€0.45
€0.48
+6.4%
9.3%€0.53€0.42n/a3
Jun ’25€0.47
€0.47
-0.3%
6.2%€0.52€0.43n/a4
May ’25€0.45
€0.47
+4.4%
6.2%€0.52€0.43n/a4
Apr ’25€0.45
€0.47
+5.0%
6.2%€0.52€0.43n/a4
Mar ’25€0.44
€0.49
+11.7%
4.8%€0.52€0.47n/a4
Feb ’25€0.47
€0.49
+3.4%
3.7%€0.51€0.47n/a4
Jan ’25€0.47
€0.49
+5.0%
3.7%€0.51€0.47n/a4
Dec ’24€0.45
€0.50
+10.6%
3.7%€0.52€0.48€0.534
Nov ’24€0.44
€0.50
+13.2%
3.7%€0.52€0.48€0.494
Oct ’24€0.41
€0.50
+19.9%
3.7%€0.52€0.48€0.494
Sep ’24€0.42
€0.52
+21.5%
6.1%€0.56€0.47€0.495
Aug ’24€0.45
€0.53
+19.1%
3.6%€0.56€0.50€0.465
Jul ’24€0.47
€0.53
+13.2%
3.6%€0.56€0.50€0.455
Jun ’24€0.46
€0.53
+16.2%
3.6%€0.56€0.51€0.475
May ’24€0.46
€0.53
+16.0%
3.6%€0.56€0.51€0.455
Apr ’24€0.44
€0.53
+21.1%
3.6%€0.56€0.51€0.455
Mar ’24€0.47
€0.55
+17.0%
7.4%€0.60€0.48€0.445
Feb ’24€0.46
€0.55
+18.8%
7.4%€0.60€0.48€0.475
Jan ’24€0.42
€0.58
+38.8%
9.2%€0.65€0.49€0.475
Dec ’23€0.41
€0.58
+42.2%
9.2%€0.65€0.49€0.455

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 06:26
End of Day Share Price 2024/12/20 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

PCCW Limited is covered by 16 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Anand RamachandranBarclays
Allan NGBOCI Research Ltd.
Feiyun FangCitigroup Inc