Sercomm Corporation

TWSE:5388 Stock Report

Market Cap: NT$32.2b

Sercomm Valuation

Is 5388 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • 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 5388 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 5388 (NT$108.5) is trading below our estimate of fair value (NT$145.69)

Significantly Below Fair Value: 5388 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 5388?

Key metric: As 5388 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 5388. This is calculated by dividing 5388's market cap by their current earnings.
What is 5388's PE Ratio?
PE Ratio13.1x
EarningsNT$2.46b
Market CapNT$32.17b

Price to Earnings Ratio vs Peers

How does 5388's PE Ratio compare to its peers?

The above table shows the PE ratio for 5388 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.8x
3596 Arcadyan Technology
14.6x7.1%NT$36.6b
6442 EZconn
59.1xn/aNT$38.5b
6285 Wistron NeWeb
16.8x18.7%NT$55.3b
3704 Zyxel Group
44.9x119.3%NT$15.6b
5388 Sercomm
13.1x10.1%NT$32.2b

Price-To-Earnings vs Peers: 5388 is good value based on its Price-To-Earnings Ratio (13.1x) compared to the peer average (33.7x).

Price to Earnings Ratio vs Industry

How does 5388's PE Ratio compare vs other companies in the TW Communications Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
5388 13.1xIndustry Avg. 29.3xNo. of Companies9PE01632486480+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 5388 is good value based on its Price-To-Earnings Ratio (13.1x) compared to the TW Communications industry average (29.3x).

Price to Earnings Ratio vs Fair Ratio

What is 5388'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.

5388 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.1x
Fair PE Ratio15.8x

Price-To-Earnings vs Fair Ratio: 5388 is good value based on its Price-To-Earnings Ratio (13.1x) compared to the estimated Fair Price-To-Earnings Ratio (15.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 5388 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentNT$108.50
NT$139.75
+28.8%
6.0%NT$150.00NT$128.00n/a4
Nov ’25NT$109.50
NT$141.50
+29.2%
4.4%NT$150.00NT$135.00n/a4
Oct ’25NT$110.50
NT$142.50
+29.0%
3.9%NT$150.00NT$135.00n/a4
Sep ’25NT$111.50
NT$138.75
+24.4%
8.2%NT$150.00NT$120.00n/a4
Aug ’25NT$114.00
NT$138.75
+21.7%
8.2%NT$150.00NT$120.00n/a4
Jul ’25NT$117.50
NT$151.40
+28.9%
10.1%NT$180.00NT$135.00n/a5
Jun ’25NT$118.00
NT$157.40
+33.4%
8.6%NT$180.00NT$142.00n/a5
May ’25NT$124.00
NT$164.60
+32.7%
6.7%NT$180.00NT$150.00n/a5
Apr ’25NT$137.50
NT$165.60
+20.4%
6.8%NT$180.00NT$150.00n/a5
Mar ’25NT$135.50
NT$157.60
+16.3%
7.4%NT$180.00NT$150.00n/a5
Feb ’25NT$127.50
NT$157.60
+23.6%
7.4%NT$180.00NT$150.00n/a5
Jan ’25NT$134.50
NT$154.40
+14.8%
9.7%NT$180.00NT$134.00n/a5
Dec ’24NT$125.50
NT$146.40
+16.7%
5.0%NT$155.00NT$134.00n/a5
Nov ’24NT$112.50
NT$146.40
+30.1%
5.0%NT$155.00NT$134.00NT$109.505
Oct ’24NT$123.00
NT$146.40
+19.0%
5.0%NT$155.00NT$134.00NT$110.505
Sep ’24NT$117.50
NT$131.40
+11.8%
15.3%NT$155.00NT$95.00NT$111.505
Aug ’24NT$116.00
NT$131.40
+13.3%
15.3%NT$155.00NT$95.00NT$114.005
Jul ’24NT$105.00
NT$100.00
-4.8%
6.0%NT$108.00NT$92.00NT$117.505
Jun ’24NT$95.70
NT$100.00
+4.5%
6.0%NT$108.00NT$92.00NT$118.005
May ’24NT$82.10
NT$99.00
+20.6%
7.5%NT$108.00NT$87.00NT$124.005
Apr ’24NT$94.80
NT$99.00
+4.4%
7.5%NT$108.00NT$87.00NT$137.505
Mar ’24NT$85.60
NT$92.40
+7.9%
3.5%NT$97.00NT$88.00NT$135.505
Feb ’24NT$81.90
NT$92.40
+12.8%
3.5%NT$97.00NT$88.00NT$127.505
Jan ’24NT$76.30
NT$94.00
+23.2%
4.7%NT$100.00NT$88.00NT$134.505
Dec ’23NT$83.90
NT$94.00
+12.0%
4.7%NT$100.00NT$88.00NT$125.505
Nov ’23NT$76.40
NT$106.60
+39.5%
9.4%NT$115.00NT$90.00NT$112.505

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

Wiwynn

NT$378.2b

Manufactures and sells servers and storage products in cloud infrastructure and hyperscale data center in the United States, Europe, Asia, and internationally.

6669

NT$2,140.00

7D

-0.9%

1Y

22.3%

Tripod Technology

NT$98.0b

Processes, manufactures, and sells printed circuit boards and other related components in Taiwan, China, Vietnam, Thailand, South Korea, Malaysia, and internationally.

3044

NT$187.50

7D

-0.5%

1Y

-0.8%

Micro-Star International

NT$147.0b

Manufactures and sells motherboards, interface cards, notebook computers, and other electronic products in Asia, Europe, the United States, and internationally.

2377

NT$174.00

7D

3.6%

1Y

3.0%