Chinney Alliance Group Limited

SEHK:385 Stock Report

Market Cap: HK$208.2m

Chinney Alliance Group Valuation

Is 385 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: 385 (HK$0.35) is trading below our estimate of fair value (HK$0.45)

Significantly Below Fair Value: 385 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 385?

Key metric: As 385 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 385. This is calculated by dividing 385's market cap by their current earnings.
What is 385's PE Ratio?
PE Ratio1.9x
EarningsHK$107.00m
Market CapHK$208.21m

Price to Earnings Ratio vs Peers

How does 385's PE Ratio compare to its peers?

The above table shows the PE ratio for 385 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.2x
2545 Zhonggan Communication (Group) Holdings
3.1xn/aHK$217.6m
1903 JBB Builders International
39.8xn/aHK$207.5m
1413 FEG Holdings
10.3xn/aHK$177.6m
1582 CR Construction Group Holdings
3.7xn/aHK$230.0m
385 Chinney Alliance Group
1.9xn/aHK$208.2m

Price-To-Earnings vs Peers: 385 is good value based on its Price-To-Earnings Ratio (1.9x) compared to the peer average (14.2x).


Price to Earnings Ratio vs Industry

How does 385's PE Ratio compare vs other companies in the HK Construction Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.9.5x13.4%
385 Chinney Alliance Group
1.9xn/aUS$26.75m
8188 GME Group Holdings
1.5xn/aUS$22.05m
1591 Shun Wo Group Holdings
1.8xn/aUS$9.25m
385 1.9xIndustry Avg. 9.5xNo. of Companies13PE0816243240+
4 CompaniesEstimated GrowthMarket Cap
Industry Avg.9.5x13.4%
385 Chinney Alliance Group
1.9xn/aUS$26.75m
No more companies

Price-To-Earnings vs Industry: 385 is good value based on its Price-To-Earnings Ratio (1.9x) compared to the Hong Kong Construction industry average (10.2x).


Price to Earnings Ratio vs Fair Ratio

What is 385'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.

385 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio1.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 385's Price-To-Earnings 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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