Ten Pao Group Holdings Limited

SEHK:1979 Stock Report

Market Cap: HK$1.5b

Ten Pao Group Holdings Valuation

Is 1979 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 1979 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1979 (HK$1.49) is trading below our estimate of fair value (HK$5.67)

Significantly Below Fair Value: 1979 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1979?

Other financial metrics that can be useful for relative valuation.

1979 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/EBITDA2.7x
PEG Ratio0.3x

Price to Earnings Ratio vs Peers

How does 1979's PE Ratio compare to its peers?

The above table shows the PE ratio for 1979 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.3x
1868 Neo-Neon Holdings
32.4xn/aHK$816.8m
580 Sun.King Technology Group
25.3xn/aHK$2.0b
505 Xingye Alloy Materials Group
3.7xn/aHK$874.8m
842 Leoch International Technology
3.7xn/aHK$2.2b
1979 Ten Pao Group Holdings
4.2x13.8%HK$1.5b

Price-To-Earnings vs Peers: 1979 is good value based on its Price-To-Earnings Ratio (4.2x) compared to the peer average (16.3x).


Price to Earnings Ratio vs Industry

How does 1979's PE Ratio compare vs other companies in the Asian Electrical Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a39.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a39.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 1979 is good value based on its Price-To-Earnings Ratio (4.2x) compared to the Asian Electrical industry average (28.9x).


Price to Earnings Ratio vs Fair Ratio

What is 1979'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.

1979 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.2x
Fair PE Ratio5.1x

Price-To-Earnings vs Fair Ratio: 1979 is good value based on its Price-To-Earnings Ratio (4.2x) compared to the estimated Fair Price-To-Earnings Ratio (5.1x).


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.


Discover undervalued companies