CA Cultural Technology Group Valuation

Q: What is the Fair Price of 1566 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

1566 (HK$0.05) is trading below our estimate of [[fair value]] (HK$1.15)

Is 1566 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-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 1566 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1566 (HK$0.05) is trading below our estimate of fair value (HK$1.15)

Significantly Below Fair Value: 1566 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1566?

Key metric: As 1566 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1566. This is calculated by dividing 1566's market cap by their current revenue.
What is 1566's PS Ratio?
PS Ratio	0.2x
Sales	HK$364.03m
Market Cap	HK$60.28m

1566 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	3x
Enterprise Value/EBITDA	-38.5x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 1566's PS Ratio compare to its peers?

The above table shows the PS ratio for 1566 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	0.8x
1803 Beijing Sports and Entertainment Industry Group	2.2x	n/a	HK$157.7m
3666 Shanghai XNG Holdings	0.1x	n/a	HK$53.0m
1703 Welife Technology	0.2x	n/a	HK$55.2m
419 Hony Media Group	0.9x	n/a	HK$1.1b
1566 CA Cultural Technology Group	0.2x	n/a	HK$60.3m

Price-To-Sales vs Peers: 1566 is good value based on its Price-To-Sales Ratio (0.2x) compared to the peer average (0.8x).

Price to Sales Ratio vs Industry

How does 1566's PS Ratio compare vs other companies in the HK Hospitality Industry?

14 Companies	Price / Sales	Estimated Growth	Market Cap
Industry Avg.	0.7x	12.3%
1566 CA Cultural Technology Group	0.2x	n/a	US$7.74m
520 Xiabuxiabu Catering Management (China) Holdings	0.2x	10.0%	US$136.25m
6811 Tai Hing Group Holdings	0.2x	4.9%	US$82.63m

14 Companies		Estimated Growth	Market Cap
Industry Avg.	0.7x	27.0%
1566 CA Cultural Technology Group	0.2x	n/a	US$7.74m

No more companies

Price-To-Sales vs Industry: 1566 is good value based on its Price-To-Sales Ratio (0.2x) compared to the Hong Kong Hospitality industry average (0.7x).

Price to Sales Ratio vs Fair Ratio

What is 1566'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.

1566 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.2x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 1566's Price-To-Sales 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.