Redbox Entertainment Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: RDBX ($1.65) is trading below our estimate of fair value ($54.66)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for RDBX. This is calculated by dividing RDBX's market cap by their current earnings.
What is RDBX's PE Ratio?
PE Ratio	1.2x
Earnings	US$18.46m
Market Cap	US$76.65m

RDBX 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	1.1x
Enterprise Value/EBITDA	-6.1x
PEG Ratio	-0.01x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for RDBX 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	8.9x
MGOM Migom Global	5.1x	n/a	US$75.4m
SOGP Sound Group	n/a	n/a	US$9.0m
MCS Marcus	n/a	75.1%	US$690.1m
MMTR.S Mills Music Trust	12.7x	n/a	US$10.6m
RDBX Redbox Entertainment	1.2x	-121.8%	US$76.7m

Price-To-Earnings vs Peers: RDBX is good value based on its Price-To-Earnings Ratio (1.2x) compared to the peer average (46.5x).

Price to Earnings Ratio vs Industry

How does RDBX's PE Ratio compare vs other companies in the US Entertainment Industry?

7 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	18.0x	27.7%
RDBX Redbox Entertainment	1.2x	-121.8%	US$76.65m
DDI DoubleDown Interactive	5x	0.3%	US$557.97m
GMM Global Mofy AI	0.6x	n/a	US$8.48m

7 Companies		Estimated Growth	Market Cap
Industry Avg.	18.0x	27.7%
RDBX Redbox Entertainment	1.2x	-121.8%	US$76.65m

No more companies

Price-To-Earnings vs Industry: RDBX is good value based on its Price-To-Earnings Ratio (1.2x) compared to the US Entertainment industry average (24.7x)

Price to Earnings Ratio vs Fair Ratio

What is RDBX'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.

RDBX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	1.2x
Fair PE Ratio	3.1x

Price-To-Earnings vs Fair Ratio: RDBX is good value based on its Price-To-Earnings Ratio (1.2x) compared to the estimated Fair Price-To-Earnings Ratio (3.1x).

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.