Crown International Corporation Limited

SEHK:727 Stock Report

Market Cap: HK$473.4m

Crown International Valuation

Is 727 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: 727 (HK$0.13) is trading below our estimate of fair value (HK$2.88)

Significantly Below Fair Value: 727 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 727?

Key metric: As 727 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 727. This is calculated by dividing 727's market cap by their current revenue.
What is 727's PS Ratio?
PS Ratio2.6x
SalesHK$183.46m
Market CapHK$473.41m

Price to Sales Ratio vs Peers

How does 727's PS Ratio compare to its peers?

The above table shows the PS ratio for 727 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average12x
214 Asia Orient Holdings
0.2xn/aHK$311.1m
583 Great Wall Pan Asia Holdings
1.1xn/aHK$431.1m
3662 Starjoy Wellness and Travel
0.2xn/aHK$319.6m
21 Great China Holdings (Hong Kong)
46.3xn/aHK$477.0m
727 Crown International
2.6xn/aHK$473.4m

Price-To-Sales vs Peers: 727 is good value based on its Price-To-Sales Ratio (2.6x) compared to the peer average (12x).


Price to Sales Ratio vs Industry

How does 727's PS Ratio compare vs other companies in the HK Real Estate Industry?

87 CompaniesPrice / SalesEstimated GrowthMarket Cap
1908 C&D International Investment Group
0.2x3.1%US$3.51b
3900 Greentown China Holdings
0.2x-0.4%US$3.06b
1918 Sunac China Holdings
0.2x-14.2%US$2.81b
1030 Seazen Group
0.1x-22.6%US$1.78b
727 2.6xIndustry Avg. 0.6xNo. of Companies87PS00.81.62.43.24+
87 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 727 is expensive based on its Price-To-Sales Ratio (2.6x) compared to the Hong Kong Real Estate industry average (0.6x).


Price to Sales Ratio vs Fair Ratio

What is 727'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.

727 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 727'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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