System D Valuation

Is 3804 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 3804 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3804 (¥1408) is trading below our estimate of fair value (¥3391.42)

Significantly Below Fair Value: 3804 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3804?

Key metric: As 3804 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3804. This is calculated by dividing 3804's market cap by their current earnings.
What is 3804's PE Ratio?
PE Ratio	15.4x
Earnings	JP¥587.00m
Market Cap	JP¥9.02b

3804 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	1.6x
Enterprise Value/EBITDA	5.6x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 3804's PE Ratio compare to its peers?

The above table shows the PE ratio for 3804 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	31.4x
4013 KinjiroLtd	20.9x	n/a	JP¥7.9b
4284 SOLXYZ	17.1x	n/a	JP¥7.5b
3853 Asteria	69.3x	n/a	JP¥9.0b
2303 Dawn	18.3x	n/a	JP¥7.1b
3804 System D	15.4x	n/a	JP¥9.0b

Price-To-Earnings vs Peers: 3804 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the peer average (31.4x).

Price to Earnings Ratio vs Industry

How does 3804's PE Ratio compare vs other companies in the JP Software Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

No more companies available in this PE range

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 3804 is good value based on its Price-To-Earnings Ratio (15.4x) compared to the JP Software industry average (23.5x).

Price to Earnings Ratio vs Fair Ratio

What is 3804'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.

3804 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.4x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 3804'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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