OTC Markets Group Valuation

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

OTCM ($52.01) is trading below our estimate of [[fair value]] ($60.16)

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: OTCM ($52.01) is trading below our estimate of fair value ($60.16)

Significantly Below Fair Value: OTCM is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for OTCM. This is calculated by dividing OTCM's market cap by their current preferred multiple.
What is OTCM's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	US$611.22m

OTCM 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	5.8x
Enterprise Value/EBITDA	17x
PEG Ratio	2.3x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for OTCM 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	41.8x
VALU Value Line	23.6x	n/a	US$453.8m
LPRO Open Lending	119.1x	59.4%	US$696.4m
DFIN Donnelley Financial Solutions	17x	7.4%	US$1.6b
MKTW MarketWise	7.6x	83.8%	US$187.4m
OTCM OTC Markets Group	23x	10.0%	US$611.2m

Price-To-Earnings vs Peers: OTCM is good value based on its Price-To-Earnings Ratio (23x) compared to the peer average (41.8x).

Price to Earnings Ratio vs Industry

How does OTCM's PE Ratio compare vs other companies in the US Capital Markets Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	13.9%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	13.9%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: OTCM is good value based on its Price-To-Earnings Ratio (23x) compared to the US Capital Markets industry average (23.1x).

Price to Earnings Ratio vs Fair Ratio

What is OTCM'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.

OTCM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	23x
Fair PE Ratio	12.5x

Price-To-Earnings vs Fair Ratio: OTCM is expensive based on its Price-To-Earnings Ratio (23x) compared to the estimated Fair Price-To-Earnings Ratio (12.5x).

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.