* Note: Prices are in Million (M) USD.
Description:
ARB IOT Group Limited is a leading provider of Internet of Things (IoT) system solutions, specializing in system integration and comprehensive support services from its headquarters in Kuala Lumpur, Malaysia. The company is committed to technological innovation, offering cutting-edge IoT applications that enhance operational efficiencies across various industries. With a strategic focus on leveraging advanced technology, ARB IOT Group is poised to capitalize on the increasing global demand for IoT solutions, positioning itself as an attractive opportunity for institutional investors seeking growth within the technology landscape.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $2 M
Debt : $0 M
EBITDA : $-7 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Technology
Industry: Information technology services
Based on sector, 5 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 5 overlapping fiscal years (max 20).Average Free Cash Flow: $-49 M
Average Revenue: $167 M
Revenue Converted To Free Cash Flow (%): -29.4%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-06-30): $58 M
Revenue 4 Years Ago (2020-06-30): $39 M
Total Growth over 4 Years: 49.0%
4-Year Revenue CAGR (Historical): 10.5%
Forward 5-Year CAGR (Tapered): 8.4%
Since historical Revenue CAGR is between 10 - 15, 3 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-06-30): $2 M
Share Count 5 Years Ago (2020-06-30): $0 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $-1.71
Trailing 12-Month Earnings Per Share (EPS): $0.00
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0.00%
⚠️ Caution: Negative earnings detected — Further research is recommended - Next Fiscal Yr EPS: $-1.71
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 5 valid ROE years (max 20).Average ROE: 9.9%
Since Average ROE is less than 10, 1 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $7.18
52-Week Low: $3.92
Threshold Price (15% Above 52-Week Low): $4.51
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $11 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 0.5% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
Owners' Earnings (FCF/Share, latest positive annual) (2024-06-30): $15.14
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 12 points to above ARB IOT Group Limited Ordinary Shares (ARBB) stock.
Fair Value PE 20, Industry Based PE 25, Growth Based PE 15, ROE Based PE 9.9, Risk-Free Anchored PE (25% MoS) 18.2. Based on these 5 values, average assigned is 17.62. The fair value of ARB IOT Group Limited Ordinary Shares (ARBB) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
