Hon Hai Precision Industry Co., Ltd.

BATS-CHIXE:HHPDL Stock Report

Market Cap: US$72.0b

Hon Hai Precision Industry Valuation

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

Below Fair Value: HHPDL ($10.36) is trading above our estimate of fair value ($6.17)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

HHPDL 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/Revenue0.3x
Enterprise Value/EBITDA9x
PEG Ratio1.6x

Price to Earnings Ratio vs Peers

How does HHPDL's PE Ratio compare to its peers?

The above table shows the PE ratio for HHPDL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30x
HLMA Halma
37.2x8.8%UK£8.8b
GHH Gooch & Housego
37.2x44.5%UK£150.6m
601138 Foxconn Industrial Internet
23.1x15.9%CN¥510.9b
SXS Spectris
22.4x10.4%UK£3.3b
HHPDL Hon Hai Precision Industry
15.3x9.4%US$2.3t

Price-To-Earnings vs Peers: HHPDL is good value based on its Price-To-Earnings Ratio (15.3x) compared to the peer average (30.1x).


Price to Earnings Ratio vs Industry

How does HHPDL's PE Ratio compare vs other companies in the European Electronic Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.9%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a11.9%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: HHPDL is good value based on its Price-To-Earnings Ratio (15.3x) compared to the European Electronic industry average (21.4x).


Price to Earnings Ratio vs Fair Ratio

What is HHPDL'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.

HHPDL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.3x
Fair PE Ratio35.1x

Price-To-Earnings vs Fair Ratio: HHPDL is good value based on its Price-To-Earnings Ratio (15.3x) compared to the estimated Fair Price-To-Earnings Ratio (35.1x).


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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