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iSoftstone Information Technology (Group) Co (SZSE:301236) Peter Lynch Fair Value : ¥2.81 (As of May. 10, 2024)


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What is iSoftstone Information Technology (Group) Co Peter Lynch Fair Value?

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, iSoftstone Information Technology (Group) Co's PEG is 1. iSoftstone Information Technology (Group) Co's 5-Year TTM EBITDA Growth Rate is 5.85. iSoftstone Information Technology (Group) Co's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2024 was ¥0.48. Therefore, the Peter Lynch Fair Value for today is ¥2.81.

As of today (2024-05-10), iSoftstone Information Technology (Group) Co's share price is ¥39.65. iSoftstone Information Technology (Group) Co's Peter Lynch fair value is ¥2.81. Therefore, iSoftstone Information Technology (Group) Co's Price to Peter Lynch Fair Value Ratio for today is 14.12.


The historical rank and industry rank for iSoftstone Information Technology (Group) Co's Peter Lynch Fair Value or its related term are showing as below:

SZSE:301236' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 1.03   Med: 8.74   Max: 16.44
Current: 14.11


During the past 7 years, the highest Price to Peter Lynch Fair Value Ratio of iSoftstone Information Technology (Group) Co was 16.44. The lowest was 1.03. And the median was 8.74.


SZSE:301236's Price-to-Peter-Lynch-Fair-Value is ranked worse than
98.74% of 636 companies
in the Software industry
Industry Median: 1.49 vs SZSE:301236: 14.11

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


iSoftstone Information Technology (Group) Co Peter Lynch Fair Value Historical Data

The historical data trend for iSoftstone Information Technology (Group) Co's Peter Lynch Fair Value 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.

iSoftstone Information Technology (Group) Co Peter Lynch Fair Value Chart

iSoftstone Information Technology (Group) Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Peter Lynch Fair Value
Get a 7-Day Free Trial - - - 22.83 2.81

iSoftstone Information Technology (Group) Co Quarterly Data
Dec17 Dec18 Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Peter Lynch Fair Value 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 - - - 2.81 -

Competitive Comparison of iSoftstone Information Technology (Group) Co's Peter Lynch Fair Value

For the Information Technology Services subindustry, iSoftstone Information Technology (Group) Co's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value 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.


iSoftstone Information Technology (Group) Co's Price-to-Peter-Lynch-Fair-Value Distribution in the Software Industry

For the Software industry and Technology sector, iSoftstone Information Technology (Group) Co's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where iSoftstone Information Technology (Group) Co's Price-to-Peter-Lynch-Fair-Value falls into.



iSoftstone Information Technology (Group) Co Peter Lynch Fair Value Calculation

iSoftstone Information Technology (Group) Co's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 5.85 *0.48
=2.81

iSoftstone Information Technology (Group) Co's EPS without NRI for the trailing twelve months (TTM) uses the latest annual data, which was ¥0.48.

* Note that for companies that do not have enough quarterly data to calculate the 5-Year TTM EBITDA Growth Rate, we use the annual data for the calculation.


* 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.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


iSoftstone Information Technology (Group) Co  (SZSE:301236) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 5.85 instead of 15 in this case.

iSoftstone Information Technology (Group) Co's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=39.65/2.81
=14.12

* 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.


iSoftstone Information Technology (Group) Co Peter Lynch Fair Value Related Terms

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iSoftstone Information Technology (Group) Co (SZSE:301236) Business Description

Traded in Other Exchanges
N/A
Address
No. 10, Northwest Wangdong Road, Room 502, 5th Floor, Building 16, East District, Haidian District, Beijing, CHN, 100193
iSoftstone Information Technology (Group) Co Ltd is engaged in providing end-to-end software and digital technology services and digital operations services.

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