RC365 Holding Valuation

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

Below Fair Value: RCGH (£0.02) is trading below our estimate of fair value (£0.21)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for RCGH. This is calculated by dividing RCGH's market cap by their current revenue.
What is RCGH's PS Ratio?
PS Ratio	1.1x
Sales	HK$22.03m
Market Cap	HK$23.59m

RCGH 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	1.8x
Enterprise Value/EBITDA	-8.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for RCGH 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	1.1x
CLCO CloudCoCo Group	0.06x	n/a	UK£1.6m
ING Ingenta	1.1x	n/a	UK£11.5m
NARF Narf Industries	2.4x	n/a	UK£11.5m
MTEC Made Tech Group	0.9x	1.8%	UK£33.5m
RCGH RC365 Holding	1.1x	n/a	UK£2.4m

Price-To-Sales vs Peers: RCGH is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (1.1x).

Price to Sales Ratio vs Industry

How does RCGH's PS Ratio compare vs other companies in the GB IT Industry?

2 Companies	Price / Sales	Estimated Growth	Market Cap
NVIQ Noventiq Holdings	0.1x	n/a	US$228.10m
CLCO CloudCoCo Group	0.06x	n/a	US$2.00m

No more companies available in this PS range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: RCGH is expensive based on its Price-To-Sales Ratio (1.1x) compared to the European IT industry average (0.9x).

Price to Sales Ratio vs Fair Ratio

What is RCGH'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.

RCGH PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.1x
Fair PS Ratio	n/a

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