First Hotel Valuation

Is 2706 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

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 2706 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 2706 (NT$14.9) is trading above our estimate of fair value (NT$5.47)

Significantly Below Fair Value: 2706 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2706?

Key metric: As 2706 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 2706. This is calculated by dividing 2706's market cap by their current earnings.
What is 2706's PE Ratio?
PE Ratio	22.4x
Earnings	NT$332.95m
Market Cap	NT$7.45b

2706 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	13.2x
Enterprise Value/EBITDA	18.1x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 2706's PE Ratio compare to its peers?

The above table shows the PE ratio for 2706 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	53.3x
2748 FDC International Hotels	21.1x	20.1%	NT$6.4b
2722 Chateau International Development	166.1x	n/a	NT$4.1b
2739 My Humble House Hospitality Management Consulting	8x	-12.7%	NT$4.7b
2707 Formosa International Hotels	18.2x	9.6%	NT$24.8b
2706 First Hotel	22.4x	n/a	NT$7.4b

Price-To-Earnings vs Peers: 2706 is good value based on its Price-To-Earnings Ratio (22.4x) compared to the peer average (53.3x).

Price to Earnings Ratio vs Industry

How does 2706's PE Ratio compare vs other companies in the TW Hospitality Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
2718 Allmind Holdings	2.7x	n/a	US$251.40m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 2706 is expensive based on its Price-To-Earnings Ratio (22.4x) compared to the TW Hospitality industry average (18.3x).

Price to Earnings Ratio vs Fair Ratio

What is 2706'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.

2706 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	22.4x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 2706'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.