Applied Optoelectronics Valuation
Is 0HGV undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
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 0HGV when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: 0HGV ($38.53) is trading below our estimate of fair value ($107.91)
Significantly Below Fair Value: 0HGV is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for 0HGV?
Key metric: As 0HGV is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.
| What is 0HGV's PS Ratio? | |
|---|---|
| PS Ratio | 8.2x |
| Sales | US$209.55m |
| Market Cap | US$1.71b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 8.6x |
| Enterprise Value/EBITDA | -36.9x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does 0HGV's PS Ratio compare to its peers?
| Company | Forward PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 3.8x | ||
SPT Spirent Communications | 2.8x | 5.4% | UK£984.5m |
FTC Filtronic | 6.5x | 22.0% | UK£164.2m |
SRT SRT Marine Systems | 5.2x | n/a | UK£89.5m |
BVC BATM Advanced Communications | 0.9x | 12.5% | UK£84.4m |
0HGV Applied Optoelectronics | 8.2x | 50.7% | US$1.7b |
Price-To-Sales vs Peers: 0HGV is expensive based on its Price-To-Sales Ratio (8.2x) compared to the peer average (3.8x).
Price to Sales Ratio vs Industry
How does 0HGV's PS Ratio compare vs other companies in the European Communications Industry?
| 6 Companies | Price / Sales | Estimated Growth | Market Cap |
|---|---|---|---|
| 6 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Sales vs Industry: 0HGV is expensive based on its Price-To-Sales Ratio (8.2x) compared to the European Communications industry average (1.1x).
Price to Sales Ratio vs Fair Ratio
What is 0HGV'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.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 8.2x |
| Fair PS Ratio | 5.5x |
Price-To-Sales vs Fair Ratio: 0HGV is expensive based on its Price-To-Sales Ratio (8.2x) compared to the estimated Fair Price-To-Sales Ratio (5.5x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | US$38.53 | US$22.38 -41.9% | 22.8% | US$27.50 | US$14.00 | n/a | 4 |
| Nov ’25 | US$16.60 | US$16.00 -3.6% | 26.1% | US$20.00 | US$9.00 | n/a | 4 |
| Oct ’25 | US$13.47 | US$16.00 +18.8% | 26.1% | US$20.00 | US$9.00 | n/a | 4 |
| Sep ’25 | US$10.98 | US$14.00 +27.5% | 26.7% | US$18.00 | US$9.00 | n/a | 3 |
| Aug ’25 | US$8.65 | US$15.33 +77.3% | 16.3% | US$18.00 | US$12.00 | n/a | 3 |
| Jul ’25 | US$8.04 | US$15.33 +90.7% | 16.3% | US$18.00 | US$12.00 | n/a | 3 |
| Jun ’25 | US$10.60 | US$15.33 +44.6% | 16.3% | US$18.00 | US$12.00 | n/a | 3 |
| May ’25 | US$9.84 | US$18.00 +82.9% | 9.1% | US$20.00 | US$16.00 | n/a | 3 |
| Apr ’25 | US$13.86 | US$18.00 +29.9% | 9.1% | US$20.00 | US$16.00 | n/a | 3 |
| Mar ’25 | US$15.44 | US$18.00 +16.6% | 9.1% | US$20.00 | US$16.00 | n/a | 3 |
| Feb ’25 | US$16.72 | US$21.67 +29.6% | 5.8% | US$23.00 | US$20.00 | n/a | 3 |
| Jan ’25 | US$18.88 | US$21.00 +11.3% | 4.8% | US$22.00 | US$20.00 | n/a | 2 |
| Dec ’24 | US$15.99 | US$16.75 +4.8% | 19.4% | US$20.00 | US$13.50 | n/a | 2 |
| Nov ’24 | US$7.45 | US$15.75 +111.4% | 27.0% | US$20.00 | US$11.50 | US$16.60 | 2 |
| Oct ’24 | US$10.87 | US$15.75 +44.9% | 27.0% | US$20.00 | US$11.50 | US$13.47 | 2 |
| Sep ’24 | US$13.71 | US$15.75 +14.9% | 27.0% | US$20.00 | US$11.50 | US$10.98 | 2 |
| Aug ’24 | US$7.09 | US$6.25 -11.8% | 60.0% | US$10.00 | US$2.50 | US$8.65 | 2 |
| Jul ’24 | US$5.92 | US$6.25 +5.6% | 60.0% | US$10.00 | US$2.50 | US$8.04 | 2 |
| Jun ’24 | US$2.24 | US$3.75 +67.4% | 33.3% | US$5.00 | US$2.50 | US$10.60 | 2 |
| May ’24 | n/a | US$5.25 0% | 42.9% | US$7.50 | US$3.00 | US$9.84 | 2 |
| Apr ’24 | US$1.94 | US$5.25 +170.3% | 42.9% | US$7.50 | US$3.00 | US$13.86 | 2 |
| Mar ’24 | US$2.75 | US$5.25 +91.3% | 42.9% | US$7.50 | US$3.00 | US$15.44 | 2 |
| Feb ’24 | n/a | US$4.83 0% | 39.9% | US$7.50 | US$3.00 | US$16.72 | 3 |
| Jan ’24 | n/a | US$4.83 0% | 39.9% | US$7.50 | US$3.00 | US$18.88 | 3 |
| Dec ’23 | US$2.11 | US$4.83 +129.1% | 39.9% | US$7.50 | US$3.00 | US$15.99 | 3 |
| Nov ’23 | US$2.89 | US$5.10 +76.5% | 37.6% | US$7.50 | US$2.80 | US$7.45 | 3 |
Analyst Forecast: Target price is lower than the current share price.
Discover undervalued companies
Midwich Group
UK£285.5m
Distributes audio visual (AV) solutions to trade customers in the United Kingdom, Ireland, rest of Europe, the Middle East, Africa, the Asia Pacific, and North America.
MIDW
UK£2.79
7D
-3.8%
1Y
-25.4%
EKINOPS
€106.0m
Provides network solutions to service providers and enterprises worldwide.
0QSV
€3.92
7D
-2.1%
1Y
-22.2%
HP
US$36.7b
Provides personal computing and other digital access devices, imaging and printing products, and related technologies, solutions, and services worldwide.
0J2E
US$38.33
7D
4.2%
1Y
33.8%