Erdene Resource Valuation
| ERD Stock | CAD 8.86 0.29 3.17% |
At this time, the firm appears to be overvalued. Erdene Resource Deve shows a prevailing Real Value of C$7.46 per share. The current price of the firm is C$8.86. Our model computes the value of Erdene Resource Deve from reviewing the firm fundamentals such as Shares Outstanding of 61.63 M, current valuation of 545.7 M, and Shares Owned By Insiders of 24.94 % as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Erdene Resource's valuation include:
Overvalued
Today
Please note that Erdene Resource's price fluctuation is slightly risky at this time. Calculation of the real value of Erdene Resource Deve is based on 3 months time horizon. Increasing Erdene Resource's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Erdene Resource is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Erdene Stock. However, Erdene Resource's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 8.86 | Real 7.46 | Hype 8.86 | Naive 8.79 |
The intrinsic value of Erdene Resource's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Erdene Resource's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Erdene Resource Development helps investors to forecast how Erdene stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Erdene Resource more accurately as focusing exclusively on Erdene Resource's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Erdene Resource's intrinsic value based on its ongoing forecasts of Erdene Resource's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Erdene Resource's closest peers.
Erdene Resource Cash |
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About Erdene Resource Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Erdene Resource Development. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Erdene Resource Deve based exclusively on its fundamental and basic technical indicators. By analyzing Erdene Resource's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Erdene Resource's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Erdene Resource. We calculate exposure to Erdene Resource's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Erdene Resource's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -34.3 K | -36 K | |
| Pretax Profit Margin | (14.01) | (14.71) | |
| Operating Profit Margin | (14.05) | (14.76) | |
| Net Loss | (12.09) | (12.70) | |
| Gross Profit Margin | (4.37) | (4.59) |
Other Information on Investing in Erdene Stock
Erdene Resource financial ratios help investors to determine whether Erdene Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Erdene with respect to the benefits of owning Erdene Resource security.