Hollysys Automation Technologies Valuation

HOLIDelisted Stock  USD 26.42  0.00  0.00%   
At this time, the firm appears to be overvalued. Hollysys Automation retains a regular Real Value of $21.28 per share. The prevalent price of the firm is $26.42. Our model calculates the value of Hollysys Automation from evaluating the firm fundamentals such as Current Valuation of 1 B, return on equity of 0.0614, and Return On Asset of 0.0242 as well as inspecting its technical indicators and probability of bankruptcy.
Overvalued
Today
26.42
Please note that Hollysys Automation's price fluctuation is very steady at this time. Calculation of the real value of Hollysys Automation is based on 3 months time horizon. Increasing Hollysys Automation's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Hollysys Automation is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Hollysys Stock. However, Hollysys Automation'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  26.42 Real  21.28 Hype  26.42 Naive  26.0
The intrinsic value of Hollysys Automation's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Hollysys Automation's stock price.
21.28
Real Value
29.06
Upside
Estimating the potential upside or downside of Hollysys Automation Technologies helps investors to forecast how Hollysys 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 Hollysys Automation more accurately as focusing exclusively on Hollysys Automation's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
24.8725.9427.02
Details
Hype
Prediction
LowEstimatedHigh
26.4226.4226.42
Details
Naive
Forecast
LowNext ValueHigh
26.0026.0026.00
Details

Hollysys Automation Total Value Analysis

Hollysys Automation Technologies is currently expected to have valuation of 1 B with market capitalization of 1.64 B, debt of 35 M, and cash on hands of 691.96 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Hollysys Automation fundamentals before making equity appraisal based on enterprise value of the company

Hollysys Automation Investor Information

About 88.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.31. Some equities with similar Price to Book (P/B) outperform the market in the long run. Hollysys Automation has Price/Earnings To Growth (PEG) ratio of 0.38. The entity last dividend was issued on the 1st of April 2022. Based on the analysis of Hollysys Automation's profitability, liquidity, and operating efficiency, Hollysys Automation Technologies is not in a good financial situation at the moment. It has a very high risk of going through financial straits in December.

Hollysys Automation Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Hollysys Automation has an asset utilization ratio of 46.14 percent. This signifies that the Company is making $0.46 for each dollar of assets. An increasing asset utilization means that Hollysys Automation Technologies is more efficient with each dollar of assets it utilizes for everyday operations.

Hollysys Automation Ownership Allocation

Hollysys Automation Technologies has a total of 62.2 Million outstanding shares. The majority of Hollysys Automation outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Hollysys Automation to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Hollysys Automation Technologies. Please pay attention to any change in the institutional holdings of Hollysys Automation as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company holds, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Hollysys Automation Profitability Analysis

The company reported the previous year's revenue of 777.37 M. Net Income was 106.93 M with profit before overhead, payroll, taxes, and interest of 255.49 M.

About Hollysys Automation Valuation

An absolute valuation paradigm, as applied to Hollysys Stock, attempts to find the value of Hollysys Automation based on its fundamental and basic technical indicators. By analyzing Hollysys Automation's financials, quarterly and monthly indicators, and their related drivers, such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Hollysys Automation's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Hollysys Automation. We calculate exposure to Hollysys Automation's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Hollysys Automation's related companies.
Hollysys Automation Technologies Ltd. provides automation control system solutions in the Peoples Republic of China, Southeast Asia, India, and the Middle East. Hollysys Automation Technologies Ltd. was founded in 1993 and is headquartered in Beijing, the Peoples Republic China. Hollysys Automation operates under Electrical Equipment Parts classification in the United States and is traded on NASDAQ Exchange. It employs 4398 people.

Hollysys Automation Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding62 M
Quarterly Earnings Growth Y O Y-0.681
Check out Risk vs Return Analysis to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis.
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Other Consideration for investing in Hollysys Stock

If you are still planning to invest in Hollysys Automation check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Hollysys Automation's history and understand the potential risks before investing.
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