Digistar Corporation Berhad Valuation

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

DIGISTA (MYR0.06) is trading below our estimate of [[fair value]] (MYR0.42)

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

Below Fair Value: DIGISTA (MYR0.06) is trading below our estimate of fair value (MYR0.42)

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

Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for DIGISTA. This is calculated by dividing DIGISTA's market cap by their current revenue.
What is DIGISTA's PS Ratio?
PS Ratio	0.6x
Sales	RM 43.10m
Market Cap	RM 26.14m

DIGISTA 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	4.8x
Enterprise Value/EBITDA	18.8x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for DIGISTA 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	1.2x
EAH EA Holdings Berhad	0.5x	n/a	RM 32.3m
YGL Ygl Convergence Berhad	3.1x	n/a	RM 39.7m
ARBB ARB Berhad	0.2x	n/a	RM 50.0m
ZENTECH Zen Tech International Berhad	1x	n/a	RM 47.0m
DIGISTA Digistar Corporation Berhad	0.6x	n/a	RM 26.1m

Price-To-Sales vs Peers: DIGISTA is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (1.2x).

Price to Sales Ratio vs Industry

How does DIGISTA's PS Ratio compare vs other companies in the MY IT Industry?

2 Companies	Price / Sales	Estimated Growth	Market Cap
ARBB ARB Berhad	0.2x	n/a	US$11.20m
CLOUD Cloudaron Group Berhad	0.03x	n/a	US$929.43k

No more companies available in this PS range

2 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: DIGISTA is good value based on its Price-To-Sales Ratio (0.6x) compared to the MY IT industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is DIGISTA'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.

DIGISTA 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 DIGISTA'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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