Huasheng International Holding Valuation

Is 1323 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 1323 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1323 (HK$0.21) is trading below our estimate of fair value (HK$1.33)

Significantly Below Fair Value: 1323 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1323?

Key metric: As 1323 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1323. This is calculated by dividing 1323's market cap by their current revenue.
What is 1323's PS Ratio?
PS Ratio	0.3x
Sales	HK$565.91m
Market Cap	HK$160.95m

1323 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	0.6x
Enterprise Value/EBITDA	5x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 1323's PS Ratio compare to its peers?

The above table shows the PS ratio for 1323 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	0.4x
1252 China Tianrui Group Cement	0.02x	n/a	HK$141.0m
1847 YCIH Green High-Performance Concrete	0.2x	n/a	HK$205.3m
58 Sunway International Holdings	0.5x	n/a	HK$107.8m
2187 Zhixin Group Holding	0.8x	n/a	HK$426.4m
1323 Huasheng International Holding	0.3x	n/a	HK$161.0m

Price-To-Sales vs Peers: 1323 is good value based on its Price-To-Sales Ratio (0.3x) compared to the peer average (0.4x).

Price to Sales Ratio vs Industry

How does 1323's PS Ratio compare vs other companies in the Asian Basic Materials Industry?

27 Companies	Price / Sales	Estimated Growth	Market Cap

27 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 1323 is good value based on its Price-To-Sales Ratio (0.3x) compared to the Asian Basic Materials industry average (1.2x).

Price to Sales Ratio vs Fair Ratio

What is 1323'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.

1323 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.3x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 1323'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.

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