Convenience Retail Asia Valuation

Is 831 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 831 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 831 (HK$0.45) is trading below our estimate of fair value (HK$4.98)

Significantly Below Fair Value: 831 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 831?

Key metric: As 831 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 831. This is calculated by dividing 831's market cap by their current earnings.
What is 831's PE Ratio?
PE Ratio	6.3x
Earnings	HK$55.28m
Market Cap	HK$345.95m

831 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	0.3x
Enterprise Value/EBITDA	3.8x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 831's PE Ratio compare to its peers?

The above table shows the PE ratio for 831 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	12x
2360 Best Mart 360 Holdings	7.4x	n/a	HK$1.7b
2411 Shenzhen Pagoda Industrial (Group)	9.3x	37.9%	HK$1.9b
2517 Guoquan Food (Shanghai)	22.7x	n/a	HK$5.3b
2321 Swang Chai Chuan	8.5x	n/a	HK$370.1m
831 Convenience Retail Asia	6.3x	n/a	HK$346.0m

Price-To-Earnings vs Peers: 831 is good value based on its Price-To-Earnings Ratio (6.3x) compared to the peer average (12x).

Price to Earnings Ratio vs Industry

How does 831's PE Ratio compare vs other companies in the Asian Consumer Retailing Industry?

6 Companies	Price / Earnings	Estimated Growth	Market Cap

6 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 831 is good value based on its Price-To-Earnings Ratio (6.3x) compared to the Asian Consumer Retailing industry average (15.9x).

Price to Earnings Ratio vs Fair Ratio

What is 831'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.

831 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.3x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 831'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.