ZICO Holdings Valuation

Q: What is the Fair Price of 40W when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

40W (SGD0.05) is trading above our estimate of [[fair value]] (SGD0)

Is 40W 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 40W when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 40W (SGD0.05) is trading above our estimate of fair value (SGD0)

Significantly Below Fair Value: 40W is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 40W?

Key metric: As 40W is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 40W. This is calculated by dividing 40W's market cap by their current revenue.
What is 40W's PS Ratio?
PS Ratio	1.1x
Sales	RM 58.85m
Market Cap	RM 63.88m

40W 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	-4.4x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 40W's PS Ratio compare to its peers?

The above table shows the PS ratio for 40W 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	5.9x
LMS LMS Compliance	5.5x	n/a	S$38.3m
43E VCPlus	12.9x	n/a	S$10.0m
5MZ Kingsmen Creatives	0.1x	n/a	S$54.5m
TCU Credit Bureau Asia	4.9x	n/a	S$283.4m
40W ZICO Holdings	1.1x	n/a	S$19.3m

Price-To-Sales vs Peers: 40W is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (5.8x).

Price to Sales Ratio vs Industry

How does 40W's PS Ratio compare vs other companies in the Asian Professional Services Industry?

43 Companies	Price / Sales	Estimated Growth	Market Cap

43 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 40W is good value based on its Price-To-Sales Ratio (1.1x) compared to the Asian Professional Services industry average (1.4x).

Price to Sales Ratio vs Fair Ratio

What is 40W'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.

40W PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 40W'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.