Nakayo Valuation

Is 6715 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 6715 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6715 (¥1108) is trading above our estimate of fair value (¥633.46)

Significantly Below Fair Value: 6715 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6715?

Key metric: As 6715 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 6715. This is calculated by dividing 6715's market cap by their current revenue.
What is 6715's PS Ratio?
PS Ratio	0.3x
Sales	JP¥16.86b
Market Cap	JP¥4.99b

6715 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	0.1x
Enterprise Value/EBITDA	-26.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 6715's PS Ratio compare to its peers?

The above table shows the PS ratio for 6715 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	1.1x
6778 Artiza Networks	1.8x	11.6%	JP¥5.0b
6930 Nippon AntennaLtd	0.6x	n/a	JP¥6.1b
6659 Media LinksLtd	1.3x	n/a	JP¥3.7b
3842 NextgenInc	0.9x	n/a	JP¥3.2b
6715 Nakayo	0.3x	n/a	JP¥5.0b

Price-To-Sales vs Peers: 6715 is good value based on its Price-To-Sales Ratio (0.3x) compared to the peer average (1.1x).

Price to Sales Ratio vs Industry

How does 6715's PS Ratio compare vs other companies in the Asian Communications Industry?

56 Companies	Price / Sales	Estimated Growth	Market Cap
Industry Avg.	2.4x	19.2%
6715 Nakayo	0.3x	n/a	US$32.32m

56 Companies		Estimated Growth	Market Cap
Industry Avg.	2.4x	35.8%
6715 Nakayo	0.3x	n/a	US$32.32m

No more companies

Price-To-Sales vs Industry: 6715 is good value based on its Price-To-Sales Ratio (0.3x) compared to the Asian Communications industry average (2.4x).

Price to Sales Ratio vs Fair Ratio

What is 6715'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.

6715 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	0.3x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 6715'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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