Precision Optics Valuation

POCI Stock   5.18  0.05  0.97%   
At this time, the company appears to be overvalued. Precision Optics holds a recent Real Value of USD4.89 per share. The prevailing price of the company is USD5.18. Our model determines the value of Precision Optics from analyzing the company fundamentals such as Operating Margin of (0.24) %, return on equity of -0.58, and Shares Outstanding of 7.71 M as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Precision Optics' valuation include:
Price Book
3.6231
Enterprise Value
42.7 M
Enterprise Value Ebitda
(27.04)
Price Sales
1.8344
Enterprise Value Revenue
1.9795
Overvalued
Today
5.18
Please note that Precision Optics' price fluctuation is moderately volatile at this time. Calculation of the real value of Precision Optics is based on 3 months time horizon. Increasing Precision Optics' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Precision Optics is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Precision Stock. However, Precision Optics' 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  5.18 Real  4.89 Hype  5.2 Naive  5.41
The intrinsic value of Precision Optics' 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 Precision Optics' stock price.
4.88
Real Value
8.52
Upside
Estimating the potential upside or downside of Precision Optics helps investors to forecast how Precision 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 Precision Optics more accurately as focusing exclusively on Precision Optics' fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
3.724.425.12
Details
Hype
Prediction
LowEstimatedHigh
1.575.208.83
Details
Naive
Forecast
LowNext ValueHigh
1.785.419.03
Details
When choosing an evaluation method for Precision Optics, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.

Precision Optics Cash

1.67 Million

About Precision Optics Valuation

An absolute valuation paradigm, as applied to Precision Stock, attempts to find the value of Precision Optics based on its fundamental and basic technical indicators. By analyzing Precision Optics'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 Precision Optics'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 Precision Optics. We calculate exposure to Precision Optics's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Precision Optics's related companies.
Last ReportedProjected for Next Year
Gross Profit3.9 M4.1 M
Pretax Profit Margin(0.27)(0.29)
Operating Profit Margin(0.26)(0.27)
Net Loss(0.27)(0.29)
Gross Profit Margin 0.16  0.18 

Precision Optics Current Valuation Indicators

Valuation refers to the process of determining the present value of Precision Optics and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Precision we look at many different elements of the entity such as Precision'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 Precision Optics, 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 Precision Optics' 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 Precision Optics' worth.

Complementary Tools for Precision Stock analysis

When running Precision Optics' price analysis, check to measure Precision Optics' 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 Precision Optics is operating at the current time. Most of Precision Optics' value examination focuses on studying past and present price action to predict the probability of Precision Optics' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Precision Optics' price. Additionally, you may evaluate how the addition of Precision Optics to your portfolios can decrease your overall portfolio volatility.
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