A Metaverse Valuation

Is 1616 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • 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 1616 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate 1616's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 1616's fair value for valuation analysis.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1616?

Key metric: As 1616 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1616. This is calculated by dividing 1616's market cap by their current revenue.
What is 1616's PS Ratio?
PS Ratio2.6x
SalesCN¥21.97m
Market CapCN¥62.10m

Price to Sales Ratio vs Peers

How does 1616's PS Ratio compare to its peers?

The above table shows the PS ratio for 1616 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.3x
9958 Litian Pictures Holdings
0.9xn/aHK$43.5m
1326 Transmit Entertainment
0.3xn/aHK$93.4m
8103 hmvod
2.2xn/aHK$49.8m
8172 Lajin Entertainment Network Group
9.7xn/aHK$202.0m
1616 A Metaverse
2.6xn/aHK$66.7m

Price-To-Sales vs Peers: 1616 is good value based on its Price-To-Sales Ratio (2.6x) compared to the peer average (3.3x).


Price to Sales Ratio vs Industry

How does 1616's PS Ratio compare vs other companies in the HK Entertainment Industry?

6 CompaniesPrice / SalesEstimated GrowthMarket Cap
6860 FingerTango
0.3xn/aUS$25.63m
491 Emperor Culture Group
0.3xn/aUS$19.00m
1132 Orange Sky Golden Harvest Entertainment (Holdings)
0.2xn/aUS$14.75m
571 eSun Holdings
0.07xn/aUS$10.38m
1616 2.6xIndustry Avg. 1.5xNo. of Companies9PS01.22.43.64.86+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 1616 is expensive based on its Price-To-Sales Ratio (2.6x) compared to the Hong Kong Entertainment industry average (1.5x).


Price to Sales Ratio vs Fair Ratio

What is 1616'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.

1616 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.6x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 1616'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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