Tern Properties Company Limited

SEHK:277 Stock Report

Market Cap: HK$668.1m

Tern Properties Valuation

Is 277 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: 277 (HK$2.41) is trading above our estimate of fair value (HK$1.09)

Significantly Below Fair Value: 277 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 277?

Key metric: As 277 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 277. This is calculated by dividing 277's market cap by their current revenue.
What is 277's PS Ratio?
PS Ratio12.1x
SalesHK$55.06m
Market CapHK$668.13m

Price to Sales Ratio vs Peers

How does 277's PS Ratio compare to its peers?

The above table shows the PS ratio for 277 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.9x
3913 KWG Living Group Holdings
0.2xn/aHK$698.9m
237 Safety Godown Company
4.3xn/aHK$745.2m
1502 Financial Street Property
0.5xn/aHK$829.2m
225 Pokfulam Development
2.8xn/aHK$538.8m
277 Tern Properties
12.1xn/aHK$668.1m

Price-To-Sales vs Peers: 277 is expensive based on its Price-To-Sales Ratio (12.1x) compared to the peer average (1.9x).


Price to Sales Ratio vs Industry

How does 277's PS Ratio compare vs other companies in the HK Real Estate Industry?

90 CompaniesPrice / SalesEstimated GrowthMarket Cap
1908 C&D International Investment Group
0.2x3.1%US$3.37b
3900 Greentown China Holdings
0.2x-0.4%US$3.02b
1918 Sunac China Holdings
0.2x-14.2%US$2.80b
817 China Jinmao Holdings Group
0.2x-1.0%US$1.82b
277 12.1xIndustry Avg. 0.6xNo. of Companies90PS00.81.62.43.24+
90 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 277 is expensive based on its Price-To-Sales Ratio (12.1x) compared to the Hong Kong Real Estate industry average (0.6x).


Price to Sales Ratio vs Fair Ratio

What is 277'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.

277 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio12.1x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 277'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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