Tian Tu Capital Co., Ltd.

SEHK:1973 Stock Report

Market Cap: HK$2.2b

Tian Tu Capital Valuation

Is 1973 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-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1973 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1973 (HK$3.2) is trading below our estimate of fair value (HK$7.08)

Significantly Below Fair Value: 1973 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1973?

Key metric: As 1973 is unprofitable and pre-revenue we use its Price-To-Book Ratio for relative valuation analysis.

The above table shows the Price to Book ratio for 1973. This is calculated by dividing 1973's market cap by their current book value.
What is 1973's PB Ratio?
PB Ratio0.3x
BookCN¥6.57b
Market CapCN¥2.06b

Price to Book Ratio vs Peers

How does 1973's PB Ratio compare to its peers?

The above table shows the PB ratio for 1973 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PBEstimated GrowthMarket Cap
Peer Average1.1x
806 Value Partners Group
0.8x61.4%HK$2.9b
245 China Vered Financial Holding
0.4xn/aHK$1.7b
905 Walnut Capital
2.8xn/aHK$299.4m
612 Ding Yi Feng Holdings Group International
0.3xn/aHK$188.9m
1973 Tian Tu Capital
0.3x89.0%HK$2.2b

Price-To-Book vs Peers: 1973 is good value based on its Price-To-Book Ratio (0.3x) compared to the peer average (1.1x).

Price to Book Ratio vs Industry

How does 1973's PB Ratio compare vs other companies in the HK Capital Markets Industry?

9 CompaniesPrice / BookEstimated GrowthMarket Cap
1697 Shandong International Trust
0.1xn/aUS$230.50m
1140 Wealthink AI-Innovation Capital
0.1xn/aUS$125.73m
717 Emperor Capital Group
0.1xn/aUS$45.05m
1282 Renze Harvest International
0.06xn/aUS$36.85m
1973 0.3xIndustry Avg. 0.5xNo. of Companies22PB00.61.21.82.43+
9 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Book vs Industry: 1973 is good value based on its Price-To-Book Ratio (0.3x) compared to the Hong Kong Capital Markets industry average (0.5x).

Price to Book Ratio vs Fair Ratio

What is 1973's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1973 PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio0.3x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate 1973's Price-To-Book 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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