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VSTECS Holdings (HKSE:00856) Intrinsic Value: Projected FCF : HK$6.84 (As of Jun. 03, 2024)


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What is VSTECS Holdings Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-06-03), VSTECS Holdings's Intrinsic Value: Projected FCF is HK$6.84. The stock price of VSTECS Holdings is HK$4.77. Therefore, VSTECS Holdings's Price-to-Intrinsic-Value-Projected-FCF of today is 0.7.

The historical rank and industry rank for VSTECS Holdings's Intrinsic Value: Projected FCF or its related term are showing as below:

HKSE:00856' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.61   Med: 0.86   Max: 4.34
Current: 0.7

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of VSTECS Holdings was 4.34. The lowest was 0.61. And the median was 0.86.

HKSE:00856's Price-to-Projected-FCF is ranked better than
82.4% of 1631 companies
in the Hardware industry
Industry Median: 1.45 vs HKSE:00856: 0.70

VSTECS Holdings Intrinsic Value: Projected FCF Historical Data

The historical data trend for VSTECS Holdings's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

VSTECS Holdings Intrinsic Value: Projected FCF Chart

VSTECS Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.19 6.66 8.52 7.36 6.84

VSTECS Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.52 - 7.36 - 6.84

Competitive Comparison of VSTECS Holdings's Intrinsic Value: Projected FCF

For the Electronics & Computer Distribution subindustry, VSTECS Holdings's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


VSTECS Holdings's Price-to-Projected-FCF Distribution in the Hardware Industry

For the Hardware industry and Technology sector, VSTECS Holdings's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where VSTECS Holdings's Price-to-Projected-FCF falls into.



VSTECS Holdings Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get VSTECS Holdings's Free Cash Flow(6 year avg) = HK$277.26.

VSTECS Holdings's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(10.918777632373*277.25685714286+8222.836*0.8)/1405.008
=6.84

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


VSTECS Holdings  (HKSE:00856) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

VSTECS Holdings's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=4.77/6.8366690938368
=0.70

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


VSTECS Holdings Intrinsic Value: Projected FCF Related Terms

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VSTECS Holdings (HKSE:00856) Business Description

Industry
Traded in Other Exchanges
N/A
Address
200 Connaught Road Central, Unit 3312, 33th Floor, China Merchants Tower, Shun Tak Centre, Hong Kong, HKG
VSTECS Holdings Ltd is an investment holding company engaged in the development of information technology (IT) product channels and the provision of technical solution integration services. Its business segment consists of Consumer electronics, which provides finished IT products; Enterprise systems, which provides enterprise system tools (middleware, operating systems, Unix/NT servers, databases, and storage) for IT infrastructure and IT infrastructure design and implementation, training, maintenance, and support services; and Cloud computing. Majority of revenue is generated from enterprise system segment. Its geographical segments are North Asia and South East Asia.
Executives
Li Jialin
Liu Li
Fmr Llc 2201 Interest of corporation controlled by you
Fidelity Puritan Trust 2101 Beneficial owner
Zhong Guo Jin Chu Kou Yin Hang Shen Zhen Fen Hang 2106 Person having a security interest in shares
Shen Zhen Shi Tou Zi Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you
Shen Zhen Shi Ren Min Zheng Fu Guo You Zi Chan Jian Du Guan Li Wei Yuan Hui 2201 Interest of corporation controlled by you

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