GRCS Inc.

TSE:9250 Stock Report

Market Cap: JP¥2.0b

GRCS Valuation

Is 9250 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 9250 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9250 (¥1445) is trading below our estimate of fair value (¥2950.62)

Significantly Below Fair Value: 9250 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 9250?

Key metric: As 9250 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 9250. This is calculated by dividing 9250's market cap by their current revenue.
What is 9250's PS Ratio?
PS Ratio0.6x
SalesJP¥3.16b
Market CapJP¥1.95b

Price to Sales Ratio vs Peers

How does 9250's PS Ratio compare to its peers?

The above table shows the PS ratio for 9250 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.4x
4370 Mobilus
1.2x14.3%JP¥1.9b
3823 WHY HOW DO COMPANY
2.9xn/aJP¥2.2b
4057 Interfactory
0.7xn/aJP¥1.7b
9258 CS-C.Co.Ltd
0.8xn/aJP¥2.2b
9250 GRCS
0.6x12.3%JP¥2.0b

Price-To-Sales vs Peers: 9250 is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (1.4x).

Price to Sales Ratio vs Industry

How does 9250's PS Ratio compare vs other companies in the JP Software Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
3627 Tecmira Holdings
0.4xn/aUS$24.31m
3744 SIOS
0.2xn/aUS$21.24m
No more companies available in this PS range
9250 0.6xIndustry Avg. 1.9xNo. of Companies27PS01.63.24.86.48+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 9250 is good value based on its Price-To-Sales Ratio (0.6x) compared to the JP Software industry average (1.9x).

Price to Sales Ratio vs Fair Ratio

What is 9250'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.

9250 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio0.7x

Price-To-Sales vs Fair Ratio: 9250 is good value based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (0.7x).

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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