SSH Communications Security Oyj

HLSE:SSH1V Stock Report

Market Cap: €40.5m

SSH Communications Security Oyj Valuation

Is SSH1V 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 SSH1V when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SSH1V (€0.99) is trading above our estimate of fair value (€0.27)

Significantly Below Fair Value: SSH1V is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for SSH1V?

Key metric: As SSH1V is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SSH1V. This is calculated by dividing SSH1V's market cap by their current revenue.
What is SSH1V's PS Ratio?
PS Ratio1.9x
Sales€20.92m
Market Cap€40.48m

Price to Sales Ratio vs Peers

How does SSH1V's PS Ratio compare to its peers?

The above table shows the PS ratio for SSH1V vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3x
LOIHDE Loihde Oyj
0.4x3.6%€60.4m
LEMON Lemonsoft Oyj
3.7x6.2%€107.3m
WITH WithSecure Oyj
0.9x5.0%€130.6m
ADMCM Admicom Oyj
6.9x8.7%€238.9m
SSH1V SSH Communications Security Oyj
1.9x20.4%€40.5m

Price-To-Sales vs Peers: SSH1V is good value based on its Price-To-Sales Ratio (1.9x) compared to the peer average (3x).


Price to Sales Ratio vs Industry

How does SSH1V's PS Ratio compare vs other companies in the European Software Industry?

44 CompaniesPrice / SalesEstimated GrowthMarket Cap
SSH1V 1.9xIndustry Avg. 2.0xNo. of Companies53PS0246810+
44 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: SSH1V is good value based on its Price-To-Sales Ratio (1.9x) compared to the European Software industry average (2x).


Price to Sales Ratio vs Fair Ratio

What is SSH1V'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.

SSH1V PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.9x
Fair PS Ratio4.5x

Price-To-Sales vs Fair Ratio: SSH1V is good value based on its Price-To-Sales Ratio (1.9x) compared to the estimated Fair Price-To-Sales Ratio (4.5x).


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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