Solvvy Valuation

Is 7320 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-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 7320 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7320 (¥3595) is trading above our estimate of fair value (¥1818.44)

Significantly Below Fair Value: 7320 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7320?

Key metric: As 7320 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7320. This is calculated by dividing 7320's market cap by their current earnings.
What is 7320's PE Ratio?
PE Ratio16.7x
EarningsJP¥1.08b
Market CapJP¥18.61b

Price to Earnings Ratio vs Peers

How does 7320's PE Ratio compare to its peers?

The above table shows the PE ratio for 7320 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.3x
2418 TSUKADA GLOBAL HOLDINGS
4.2xn/aJP¥20.1b
2198 IKK Holdings
12.1x-2.4%JP¥20.8b
3180 BEAUTY GARAGE
16.9x16.1%JP¥18.0b
9251 AB&CompanyLtd
12.1x12.3%JP¥12.9b
7320 Solvvy
16.7x18.5%JP¥18.6b

Price-To-Earnings vs Peers: 7320 is expensive based on its Price-To-Earnings Ratio (16.7x) compared to the peer average (11.3x).


Price to Earnings Ratio vs Industry

How does 7320's PE Ratio compare vs other companies in the JP Consumer Services Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
7320 16.7xIndustry Avg. 16.6xNo. of Companies9PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7320 is expensive based on its Price-To-Earnings Ratio (16.7x) compared to the JP Consumer Services industry average (16.6x).


Price to Earnings Ratio vs Fair Ratio

What is 7320'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.

7320 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.7x
Fair PE Ratio20.4x

Price-To-Earnings vs Fair Ratio: 7320 is good value based on its Price-To-Earnings Ratio (16.7x) compared to the estimated Fair Price-To-Earnings Ratio (20.4x).


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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