China Communications Services Corporation Limited

OTCPK:CUCS.F Stock Report

Market Cap: US$3.0b

China Communications Services Valuation

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

Below Fair Value: CUCS.F ($0.43) is trading below our estimate of fair value ($2.07)

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


Key Valuation Metric

Which metric is best to use when looking at relative valuation for CUCS.F?

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

The above table shows the Price to Earnings ratio for CUCS.F. This is calculated by dividing CUCS.F's market cap by their current earnings.
What is CUCS.F's PE Ratio?
PE Ratio6.2x
EarningsCN¥3.50b
Market CapCN¥21.79b

Price to Earnings Ratio vs Peers

How does CUCS.F's PE Ratio compare to its peers?

The above table shows the PE ratio for CUCS.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43.7x
ECG Everus Construction Group
22.8x1.6%US$3.3b
GVA Granite Construction
39.2x41.7%US$4.3b
MYRG MYR Group
63.5x67.1%US$2.4b
AGX Argan
49.2x23.2%US$2.1b
CUCS.F China Communications Services
6.2x6.6%US$23.7b

Price-To-Earnings vs Peers: CUCS.F is good value based on its Price-To-Earnings Ratio (6.2x) compared to the peer average (23.9x).


Price to Earnings Ratio vs Industry

How does CUCS.F's PE Ratio compare vs other companies in the US Construction Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
WLMS.Q Williams Industrial Services Group
n/an/aUS$26.00
No more companies available in this PE range
CUCS.F 6.2xIndustry Avg. 36.8xNo. of Companies5PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CUCS.F is good value based on its Price-To-Earnings Ratio (6.2x) compared to the US Construction industry average (26.4x).


Price to Earnings Ratio vs Fair Ratio

What is CUCS.F'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.

CUCS.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.2x
Fair PE Ration/a

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


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