Weibo Valuation

Is WB 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

  • PM vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: WB ($9.21) is trading below our estimate of fair value ($27.03)

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


Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

WB 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/Revenue1.1x
Enterprise Value/EBITDA3.5x
PEG Ratio1.1x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for WB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average32.1x
YELP Yelp
24.8x16.8%US$2.5b
ZD Ziff Davis
75.5x70.0%US$3.1b
SSTK Shutterstock
15.1x11.8%US$1.7b
ATHM Autohome
12.9x2.0%US$3.4b
WB Weibo
5.6x5.1%US$2.2b

Price-To-Earnings vs Peers: WB is good value based on its Price-To-Earnings Ratio (5.6x) compared to the peer average (32.1x).


Price to Earnings Ratio vs Industry

How does WB's PE Ratio compare vs other companies in the US Interactive Media and Services Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a13.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a13.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: WB is good value based on its Price-To-Earnings Ratio (5.6x) compared to the US Interactive Media and Services industry average (21.9x).


Price to Earnings Ratio vs Fair Ratio

What is WB'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.

WB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.6x
Fair PE Ratio15x

PM vs Fair Ratio: WB is good value based on its Price-To-Earnings Ratio (5.6x) compared to the estimated Fair Price-To-Earnings Ratio (15x).


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 WB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$9.21
US$16.26
+76.5%
23.4%US$23.50US$10.00n/a22
Feb ’25US$8.52
US$16.15
+89.6%
23.7%US$23.50US$10.00n/a23
Jan ’25US$10.95
US$16.87
+54.1%
20.0%US$23.50US$11.50n/a23
Dec ’24US$9.92
US$17.04
+71.8%
18.9%US$23.50US$11.50n/a24
Nov ’24US$11.56
US$18.74
+62.1%
21.8%US$26.30US$12.00n/a23
Oct ’24US$12.54
US$19.27
+53.7%
19.2%US$26.50US$14.20n/a23
Sep ’24US$13.58
US$19.80
+45.8%
19.9%US$26.50US$14.20n/a24
Aug ’24US$15.15
US$21.34
+40.8%
17.4%US$28.00US$14.50n/a25
Jul ’24US$13.11
US$21.64
+65.1%
16.3%US$28.00US$15.50n/a25
Jun ’24US$14.17
US$22.46
+58.5%
17.2%US$33.00US$17.00n/a25
May ’24US$17.11
US$24.25
+41.7%
13.5%US$33.00US$19.00n/a24
Apr ’24US$20.06
US$24.37
+21.5%
13.6%US$33.00US$19.00n/a24
Mar ’24US$19.12
US$24.08
+26.0%
15.2%US$33.00US$16.30n/a22
Feb ’24US$25.18
US$22.61
-10.2%
17.1%US$33.00US$16.30US$8.5222
Jan ’24US$19.12
US$20.22
+5.8%
16.0%US$27.10US$15.00US$10.9521
Dec ’23US$15.15
US$20.32
+34.1%
16.9%US$27.10US$14.00US$9.9221
Nov ’23US$12.46
US$23.37
+87.5%
25.2%US$35.00US$13.00US$11.5622
Oct ’23US$17.10
US$25.87
+51.3%
20.0%US$37.00US$20.00US$12.5420
Sep ’23US$19.68
US$26.83
+36.3%
17.5%US$37.00US$20.00US$13.5820
Aug ’23US$18.28
US$29.62
+62.0%
20.9%US$48.00US$22.00US$15.1520
Jul ’23US$24.23
US$30.92
+27.6%
21.5%US$48.00US$24.00US$13.1120
Jun ’23US$21.99
US$34.09
+55.0%
23.8%US$55.20US$22.00US$14.1721
May ’23US$23.14
US$37.99
+64.2%
26.5%US$56.00US$24.00US$17.1121
Apr ’23US$25.62
US$39.67
+54.8%
24.9%US$58.00US$24.00US$20.0621
Mar ’23US$26.88
US$51.53
+91.7%
24.0%US$70.00US$32.20US$19.1222
Feb ’23US$34.71
US$56.40
+62.5%
19.0%US$73.00US$32.20US$25.1822

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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