GDS PE Ratio & Valuation,Is GDS Overvalued

GDS Relative Valuation

GDS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GDS is overvalued; if below, it's undervalued.

Historical Valuation

GDS Holdings Ltd (GDS) is now in the Fair zone, suggesting that its current forward PS ratio of 4.36 is considered Fairly compared with the five-year average of -20.17. The fair price of GDS Holdings Ltd (GDS) is between 18.21 to 68.99 according to relative valuation methord.

Relative Value

Fair Zone

18.21-68.99

Current Price：38.44

Fair

114.24

15.13

EV/EBITDA

GDS Holdings Ltd. (GDS) has a current EV/EBITDA of 15.13. The 5-year average EV/EBITDA is 15.85. The thresholds are as follows: Strongly Undervalued below 3.59, Undervalued between 3.59 and 9.72, Fairly Valued between 21.98 and 9.72, Overvalued between 21.98 and 28.11, and Strongly Overvalued above 28.11. The current Forward EV/EBITDA of 15.13 falls within the Historic Trend Line -Fairly Valued range.

56.16

EV/EBIT

GDS Holdings Ltd. (GDS) has a current EV/EBIT of 56.16. The 5-year average EV/EBIT is 94.09. The thresholds are as follows: Strongly Undervalued below 6.72, Undervalued between 6.72 and 50.40, Fairly Valued between 137.77 and 50.40, Overvalued between 137.77 and 181.45, and Strongly Overvalued above 181.45. The current Forward EV/EBIT of 56.16 falls within the Historic Trend Line -Fairly Valued range.

4.36

GDS Holdings Ltd. (GDS) has a current PS of 4.36. The 5-year average PS is 4.15. The thresholds are as follows: Strongly Undervalued below -3.01, Undervalued between -3.01 and 0.57, Fairly Valued between 7.74 and 0.57, Overvalued between 7.74 and 11.32, and Strongly Overvalued above 11.32. The current Forward PS of 4.36 falls within the Historic Trend Line -Fairly Valued range.

8.99

P/OCF

GDS Holdings Ltd. (GDS) has a current P/OCF of 8.99. The 5-year average P/OCF is 17.10. The thresholds are as follows: Strongly Undervalued below -18.61, Undervalued between -18.61 and -0.75, Fairly Valued between 34.96 and -0.75, Overvalued between 34.96 and 52.82, and Strongly Overvalued above 52.82. The current Forward P/OCF of 8.99 falls within the Historic Trend Line -Fairly Valued range.

-364.80

P/FCF

GDS Holdings Ltd. (GDS) has a current P/FCF of -364.80. The 5-year average P/FCF is -23.97. The thresholds are as follows: Strongly Undervalued below -159.19, Undervalued between -159.19 and -91.58, Fairly Valued between 43.65 and -91.58, Overvalued between 43.65 and 111.26, and Strongly Overvalued above 111.26. The current Forward P/FCF of -364.80 falls within the Strongly Undervalued range.

GDS Holdings Ltd (GDS) has a current Price-to-Book (P/B) ratio of 2.02. Compared to its 3-year average P/B ratio of 0.77 , the current P/B ratio is approximately 162.91% higher. Relative to its 5-year average P/B ratio of 0.58, the current P/B ratio is about 247.18% higher. GDS Holdings Ltd (GDS) has a Forward Free Cash Flow (FCF) yield of approximately -1.96%. Compared to its 3-year average FCF yield of -25.67%, the current FCF yield is approximately -92.35% lower. Relative to its 5-year average FCF yield of -22.05% , the current FCF yield is about -91.09% lower.

2.02

P/B

Median3y

0.77

Median5y

0.58

-1.96

FCF Yield

Median3y

-25.67

Median5y

-22.05

Competitors Valuation Multiple

The average P/S ratio for GDS's competitors is 7.01, providing a benchmark for relative valuation. GDS Holdings Ltd Corp (GDS) exhibits a P/S ratio of 4.36, which is -37.81% above the industry average. Given its robust revenue growth of 10.30%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of GDS increased by 77.06% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 6.26 to 43.92.

The secondary factor is the Revenue Growth, contributed 10.30%to the performance.

Overall, the performance of GDS in the past 1 year is driven by P/E Change. Which is more unsustainable.

10.30%

365.73M → 403.38M

Revenue Growth

-534.42%

-5.81 → 25.24

Margin Expansion

601.18%

6.26 → 43.92

P/E Change

77.06%

21.71 → 38.44

Mkt Cap Growth

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Frequently Asked Questions

Is GDS Holdings Ltd (GDS) currently overvalued or undervalued?

What is GDS Holdings Ltd (GDS) fair value?

GDS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of GDS Holdings Ltd (GDS) is between 18.21 to 68.99 according to relative valuation methord.

How does GDS's valuation metrics compare to the industry average?

What is the current P/B ratio for GDS Holdings Ltd (GDS) as of Jan 09 2026?

As of Jan 09 2026, GDS Holdings Ltd (GDS) has a P/B ratio of 2.02. This indicates that the market values GDS at 2.02 times its book value.

What is the current FCF Yield for GDS Holdings Ltd (GDS) as of Jan 09 2026?

As of Jan 09 2026, GDS Holdings Ltd (GDS) has a FCF Yield of -1.96%. This means that for every dollar of GDS Holdings Ltd’s market capitalization, the company generates -1.96 cents in free cash flow.

What is the current Forward P/E ratio for GDS Holdings Ltd (GDS) as of Jan 09 2026?

As of Jan 09 2026, GDS Holdings Ltd (GDS) has a Forward P/E ratio of 114.24. This means the market is willing to pay $114.24 for every dollar of GDS Holdings Ltd’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for GDS Holdings Ltd (GDS) as of Jan 09 2026?

As of Jan 09 2026, GDS Holdings Ltd (GDS) has a Forward P/S ratio of 4.36. This means the market is valuing GDS at $4.36 for every dollar of expected revenue over the next 12 months.

GDS Valuation