Excellence Commercial Property & Facilities Management Group Limited

SEHK:6989 Stock Report

Market Cap: HK$1.5b

Excellence Commercial Property & Facilities Management Group Valuation

Is 6989 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-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 6989 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6989 (HK$1.27) is trading below our estimate of fair value (HK$2.68)

Significantly Below Fair Value: 6989 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6989?

Key metric: As 6989 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 6989. This is calculated by dividing 6989's market cap by their current earnings.
What is 6989's PE Ratio?
PE Ratio4.8x
EarningsCN¥302.84m
Market CapCN¥1.44b

Price to Earnings Ratio vs Peers

How does 6989's PE Ratio compare to its peers?

The above table shows the PE ratio for 6989 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.3x
9909 Powerlong Commercial Management Holdings
3.6x5.4%HK$1.5b
2215 Dexin Services Group
32.1xn/aHK$1.4b
6668 E-Star Commercial Management
7.2xn/aHK$1.3b
3658 New Hope Service Holdings
6.3x11.1%HK$1.5b
6989 Excellence Commercial Property & Facilities Management Group
4.8xn/aHK$1.5b

Price-To-Earnings vs Peers: 6989 is good value based on its Price-To-Earnings Ratio (4.8x) compared to the peer average (12.3x).


Price to Earnings Ratio vs Industry

How does 6989's PE Ratio compare vs other companies in the HK Real Estate Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
29 Dynamic Holdings
0.3xn/aUS$227.42m
3883 China Aoyuan Group
0.07xn/aUS$153.39m
2768 Jiayuan International Group
1.4x31.6%US$151.18m
2117 Datang Group Holdings
1.2xn/aUS$87.18m
6989 4.8xIndustry Avg. 7.2xNo. of Companies16PE0612182430+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 6989 is good value based on its Price-To-Earnings Ratio (4.8x) compared to the Hong Kong Real Estate industry average (7.3x).


Price to Earnings Ratio vs Fair Ratio

What is 6989's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6989 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.8x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 6989's Price-To-Earnings 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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