Torex Semiconductor Valuation

Q: What is the Fair Price of 6616 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

6616 (¥1314) is trading above our estimate of [[fair value]] (¥744.39)

Is 6616 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

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 6616 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6616 (¥1314) is trading above our estimate of fair value (¥744.39)

Significantly Below Fair Value: 6616 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6616?

Key metric: As 6616 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 6616. This is calculated by dividing 6616's market cap by their current revenue.
What is 6616's PS Ratio?
PS Ratio	0.6x
Sales	JP¥25.60b
Market Cap	JP¥14.45b

6616 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.7x
Enterprise Value/EBITDA	20.3x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 6616's PS Ratio compare to its peers?

The above table shows the PS ratio for 6616 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	4.1x
6613 QD Laser	11.1x	23.2%	JP¥13.5b
4238 Miraial	1.1x	n/a	JP¥13.3b
6769 THine Electronics	2.3x	n/a	JP¥10.7b
6697 Techpoint	2.1x	n/a	JP¥22.9b
6616 Torex Semiconductor	0.6x	n/a	JP¥14.5b

Price-To-Sales vs Peers: 6616 is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (4.1x).

Price to Sales Ratio vs Industry

How does 6616's PS Ratio compare vs other companies in the JP Semiconductor Industry?

3 Companies	Price / Sales	Estimated Growth	Market Cap
6844 Shindengen Electric ManufacturingLtd	0.2x	4.2%	US$164.95m
3856 Abalance	0.07x	n/a	US$95.14m
3374 Naigai Tec	0.2x	n/a	US$49.91m

No more companies available in this PS range

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 6616 is good value based on its Price-To-Sales Ratio (0.6x) compared to the JP Semiconductor industry average (1.5x).

Price to Sales Ratio vs Fair Ratio

What is 6616'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.

6616 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.6x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 6616'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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