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Lvgem (China) Real Estate Investment Co (HKSE:00095) Intrinsic Value: Projected FCF : HK$2.64 (As of May. 27, 2024)


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What is Lvgem (China) Real Estate Investment Co 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 (2024-05-27), Lvgem (China) Real Estate Investment Co's Intrinsic Value: Projected FCF is HK$2.64. The stock price of Lvgem (China) Real Estate Investment Co is HK$0.80. Therefore, Lvgem (China) Real Estate Investment Co's Price-to-Intrinsic-Value-Projected-FCF of today is 0.3.

The historical rank and industry rank for Lvgem (China) Real Estate Investment Co's Intrinsic Value: Projected FCF or its related term are showing as below:

HKSE:00095' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.3   Med: 0.95   Max: 2.16
Current: 0.3

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Lvgem (China) Real Estate Investment Co was 2.16. The lowest was 0.30. And the median was 0.95.

HKSE:00095's Price-to-Projected-FCF is ranked better than
76.37% of 1274 companies
in the Real Estate industry
Industry Median: 0.66 vs HKSE:00095: 0.30

Lvgem (China) Real Estate Investment Co Intrinsic Value: Projected FCF Historical Data

The historical data trend for Lvgem (China) Real Estate Investment Co'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.

Lvgem (China) Real Estate Investment Co Intrinsic Value: Projected FCF Chart

Lvgem (China) Real Estate Investment Co 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 2.91 4.21 4.09 4.03 2.64

Lvgem (China) Real Estate Investment Co 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 4.09 - 4.03 - 2.64

Competitive Comparison of Lvgem (China) Real Estate Investment Co's Intrinsic Value: Projected FCF

For the Real Estate - Development subindustry, Lvgem (China) Real Estate Investment Co'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.


Lvgem (China) Real Estate Investment Co's Price-to-Projected-FCF Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Lvgem (China) Real Estate Investment Co's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Lvgem (China) Real Estate Investment Co's Price-to-Projected-FCF falls into.



Lvgem (China) Real Estate Investment Co 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 Lvgem (China) Real Estate Investment Co's Free Cash Flow(6 year avg) = HK$-589.54.

Lvgem (China) Real Estate Investment Co'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)
=(11.613375984848*-589.53642857143+25352.075*0.8)/5097.704
=2.64

* 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.


Lvgem (China) Real Estate Investment Co  (HKSE:00095) 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.

Lvgem (China) Real Estate Investment Co's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=0.80/2.6355299951185
=0.30

* 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.


Lvgem (China) Real Estate Investment Co Intrinsic Value: Projected FCF Related Terms

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Lvgem (China) Real Estate Investment Co (HKSE:00095) Business Description

Traded in Other Exchanges
N/A
Address
123 Hoi Bun Road, Unit 2501, NEO, Kwun Tong, Kowloon, Hong Kong, HKG
Lvgem (China) Real Estate Investment Co Ltd is a real estate developer and a commercial property operator. The company's reportable segments are 1) Real estate development and sales segment include sales of properties, 2) Commercial property investment and operations segment include lease of commercial properties, office premises, apartments and car parks, 3) Comprehensive services segment includes hotel operation, property management service and other service income. The majority of its revenue is earned through Real estate development and sales segment. The Company's operations are located in the Mainland China, Hong Kong, the United States of America and Cambodia.
Executives
Wong Hong King
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Go Great International Limited
Huang Jingshu 2202 Interest of your spouse
All Group Wise International (holdings) Limited 2101 Beneficial owner
Xu Jun Jia 2201 Interest of corporation controlled by you
Poly Platinum Enterprises Limited 2101 Beneficial owner
Greater Bay Area Homeland Investments Limited 2201 Interest of corporation controlled by you
Greater Bay Area Homeland Development Fund (gp) Limited 2201 Interest of corporation controlled by you
Shan Weijian 2201 Interest of corporation controlled by you
Chan Tak Ho 2201 Interest of corporation controlled by you
Arte Capital I Gp Limited 2201 Interest of corporation controlled by you
Arte Holdings Limited 2201 Interest of corporation controlled by you
Arte Special Situation Fund, L.p. 2201 Interest of corporation controlled by you
Bain Capital Credit Member, Llc 2201 Interest of corporation controlled by you

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