Advantage Solutions Inc.

NasdaqGS:ADV Stock Report

Market Cap: US$1.1b

Advantage Solutions Valuation

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

Below Fair Value: ADV ($3.39) is trading above our estimate of fair value ($1.4)

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


Key Valuation Metric

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

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

The above table shows the Price to Sales ratio for ADV. This is calculated by dividing ADV's market cap by their current revenue.
What is ADV's PS Ratio?
PS Ratio0.3x
SalesUS$3.99b
Market CapUS$1.08b

Price to Sales Ratio vs Peers

How does ADV's PS Ratio compare to its peers?

The above table shows the PS ratio for ADV vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.3x
CCO Clear Channel Outdoor Holdings
0.3x4.0%US$763.0m
PUBM PubMatic
2.5x7.9%US$739.9m
TTGT TechTarget
3.9x7.1%US$892.3m
EEX Emerald Holding
2.4x6.6%US$964.2m
ADV Advantage Solutions
0.3x-2.5%US$1.1b

Price-To-Sales vs Peers: ADV is good value based on its Price-To-Sales Ratio (0.3x) compared to the peer average (2.3x).


Price to Sales Ratio vs Industry

How does ADV's PS Ratio compare vs other companies in the US Media Industry?

35 CompaniesPrice / SalesEstimated GrowthMarket Cap
Industry Avg.0.9x3.6%
ADV Advantage Solutions
0.3x-2.5%US$1.08b
PARA Paramount Global
0.2x1.5%US$7.37b
DISH DISH Network
0.2x-1.3%US$3.08b
ADV 0.3xIndustry Avg. 0.9xNo. of Companies35PS01.22.43.64.86+
35 CompaniesEstimated GrowthMarket Cap
Industry Avg.0.9x13.5%
ADV Advantage Solutions
0.3x107.2%US$1.08b
No more companies

Price-To-Sales vs Industry: ADV is good value based on its Price-To-Sales Ratio (0.3x) compared to the US Media industry average (0.9x).


Price to Sales Ratio vs Fair Ratio

What is ADV'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.

ADV PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.3x
Fair PS Ratio0.5x

Price-To-Sales vs Fair Ratio: ADV is good value based on its Price-To-Sales Ratio (0.3x) compared to the estimated Fair Price-To-Sales Ratio (0.5x).


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 ADV forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$3.39
US$4.67
+37.7%
13.4%US$5.50US$4.00n/a3
Nov ’25US$3.21
US$4.50
+40.2%
15.7%US$5.50US$4.00n/a3
Oct ’25US$3.32
US$4.50
+35.5%
15.7%US$5.50US$4.00n/a3
Sep ’25US$3.87
US$4.50
+16.3%
15.7%US$5.50US$4.00n/a3
Aug ’25US$3.83
US$4.50
+17.5%
15.7%US$5.50US$4.00n/a3
Jul ’25US$3.13
US$4.50
+43.8%
15.7%US$5.50US$4.00n/a3
Jun ’25US$3.44
US$4.50
+30.8%
15.7%US$5.50US$4.00n/a3
May ’25US$4.42
US$4.50
+1.8%
15.7%US$5.50US$4.00n/a3
Apr ’25US$4.29
US$4.50
+4.9%
15.7%US$5.50US$4.00n/a3
Mar ’25US$3.86
US$4.50
+16.6%
15.7%US$5.50US$4.00n/a3
Feb ’25US$4.14
US$3.88
-6.4%
5.6%US$4.00US$3.50n/a4
Jan ’25US$3.62
US$3.88
+7.0%
5.6%US$4.00US$3.50n/a4
Dec ’24US$2.79
US$3.50
+25.4%
11.7%US$4.00US$3.00n/a3
Nov ’24US$2.30
US$3.43
+49.3%
12.2%US$4.00US$3.00US$3.213
Oct ’24US$2.84
US$3.43
+20.9%
12.2%US$4.00US$3.00US$3.323
Sep ’24US$2.91
US$3.43
+18.0%
12.2%US$4.00US$3.00US$3.873
Aug ’24US$2.65
US$3.30
+24.5%
15.1%US$4.00US$2.90US$3.833
Jul ’24US$2.34
US$3.30
+41.0%
15.1%US$4.00US$2.90US$3.133
Jun ’24US$1.86
US$3.30
+77.4%
15.1%US$4.00US$2.90US$3.443
May ’24US$1.31
US$3.30
+151.9%
15.1%US$4.00US$2.90US$4.423
Apr ’24US$1.58
US$3.30
+108.9%
15.1%US$4.00US$2.90US$4.293
Mar ’24US$2.23
US$3.20
+43.5%
18.4%US$4.00US$2.60US$3.863
Feb ’24US$2.65
US$3.20
+20.8%
18.4%US$4.00US$2.60US$4.143
Jan ’24US$2.08
US$4.20
+101.9%
33.2%US$6.00US$2.60US$3.623
Dec ’23US$2.48
US$4.20
+69.4%
33.2%US$6.00US$2.60US$2.793
Nov ’23US$3.41
US$5.33
+56.4%
23.4%US$7.00US$4.00US$2.303

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


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