The9 Valuation
| NCTY Stock | USD 11.10 0.04 0.36% |
At this time, the company appears to be overvalued. The9 Ltd ADR has a current Real Value of $9.96 per share. The regular price of the company is $11.1. Our model measures the value of The9 Ltd ADR from inspecting the company fundamentals such as Shares Outstanding of 8.99 M, operating margin of (0.32) %, and Return On Equity of -1.38 as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting The9's valuation include:
Price Book 3.4866 | Enterprise Value 103.5 M | Enterprise Value Ebitda (0.03) | Price Sales 0.5551 | Enterprise Value Revenue 4.1836 |
Overvalued
Today
Please note that The9's price fluctuation is somewhat reliable at this time. Calculation of the real value of The9 Ltd ADR is based on 3 months time horizon. Increasing The9's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since The9 is currently traded on the exchange, buyers and sellers on that exchange determine the market value of The9 Stock. However, The9'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 11.1 | Real 9.96 | Hype 11.11 | Naive 12.23 |
The intrinsic value of The9'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 The9'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 The9 Ltd ADR helps investors to forecast how The9 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 The9 more accurately as focusing exclusively on The9'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 The9's intrinsic value based on its ongoing forecasts of The9's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against The9's closest peers.
The9 Cash |
|
The9 Valuation Trend
Analysing the historical paterns of The9's enterprise value and its market capitalization is a good way to estimate and gauge the value of The9 Ltd ADR over time and is usually enough for investors to make rational market timing decisions.
The9 Total Value Analysis
The9 Ltd ADR is now anticipated to have valuation of 103.52 M with market capitalization of 99.4 M, debt of 75.1 M, and cash on hands of 429.22 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 The9 fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
103.52 M | 99.4 M | 75.1 M | 429.22 M |
The9 Investor Information
The book value of the company was now reported as 44.04. The company recorded a loss per share of 5.8. The9 Ltd ADR last dividend was issued on the 29th of January 2009. The entity had 1:10 split on the 2nd of October 2023. Based on the key measurements obtained from The9's financial statements, The9 Ltd ADR is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.The9 Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. The9 has an asset utilization ratio of 49.23 percent. This suggests that the Company is making $0.49 for each dollar of assets. An increasing asset utilization means that The9 Ltd ADR is more efficient with each dollar of assets it utilizes for everyday operations.The9 Ownership Allocation
The market capitalization of The9 is $99.4 Million. The9 Ltd ADR has 6.66 % of its outstanding shares held by insiders and 0.22 % owned by institutional holders. Please take into account that even companies with profitable outlook can generate negative future returns on their equity. If the true value of the company is less than the current market value, you may not be able generate positive returns on investment in the long run.The9 Profitability Analysis
The company reported the previous year's revenue of 179.05 M. Net Income was 12.58 M with loss before overhead, payroll, taxes, and interest of (65.74 M).About The9 Valuation
Our relative valuation model uses a comparative analysis of The9. We calculate exposure to The9's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of The9's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -32.8 M | -31.2 M | |
| Pretax Profit Margin | (0.81) | (0.77) | |
| Operating Profit Margin | (1.77) | (1.69) | |
| Net Profit Margin | 0.11 | 0.12 | |
| Gross Profit Margin | (0.18) | (0.17) |
The9 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 Outstanding | 3.4 M |
The9 Current Valuation Indicators
Valuation refers to the process of determining the present value of The9 Ltd ADR and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value The9 we look at many different elements of the entity such as The9's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as The9, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use The9's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes The9's worth.Additional Tools for The9 Stock Analysis
When running The9's price analysis, check to measure The9's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy The9 is operating at the current time. Most of The9's value examination focuses on studying past and present price action to predict the probability of The9's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move The9's price. Additionally, you may evaluate how the addition of The9 to your portfolios can decrease your overall portfolio volatility.