SGHC Valuation

SGHC Ltd

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10.810

+0.09(0.840%)1D

Overview
Forecast
Valuation
Earnings

SGHC Relative Valuation

SGHC'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, SGHC is overvalued; if below, it's undervalued.

Historical Valuation

SGHC Ltd (SGHC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 18.70 is considered Undervalued compared with the five-year average of 19.99. The fair price of SGHC Ltd (SGHC) is between 10.82 to 18.28 according to relative valuation methord. Compared to the current price of 10.81 USD , SGHC Ltd is Undervalued By 0.11%.

Relative Value

Fair Zone

10.82-18.28

Current Price：10.81

0.11%

Undervalued

18.70

Trailing

Forward

10.48

EV/EBITDA

SGHC Ltd. (SGHC) has a current EV/EBITDA of 10.48. The 5-year average EV/EBITDA is 6.75. The thresholds are as follows: Strongly Undervalued below -1.78, Undervalued between -1.78 and 2.49, Fairly Valued between 11.01 and 2.49, Overvalued between 11.01 and 15.27, and Strongly Overvalued above 15.27. The current Forward EV/EBITDA of 10.48 falls within the Historic Trend Line -Fairly Valued range.

12.60

EV/EBIT

SGHC Ltd. (SGHC) has a current EV/EBIT of 12.60. The 5-year average EV/EBIT is 8.96. The thresholds are as follows: Strongly Undervalued below -3.52, Undervalued between -3.52 and 2.72, Fairly Valued between 15.20 and 2.72, Overvalued between 15.20 and 21.45, and Strongly Overvalued above 21.45. The current Forward EV/EBIT of 12.60 falls within the Historic Trend Line -Fairly Valued range.

2.55

SGHC Ltd. (SGHC) has a current PS of 2.55. The 5-year average PS is 1.16. The thresholds are as follows: Strongly Undervalued below -0.52, Undervalued between -0.52 and 0.32, Fairly Valued between 2.00 and 0.32, Overvalued between 2.00 and 2.84, and Strongly Overvalued above 2.84. The current Forward PS of 2.55 falls within the Overvalued range.

12.03

P/OCF

SGHC Ltd. (SGHC) has a current P/OCF of 12.03. The 5-year average P/OCF is 2.56. The thresholds are as follows: Strongly Undervalued below -6.42, Undervalued between -6.42 and -1.93, Fairly Valued between 7.05 and -1.93, Overvalued between 7.05 and 11.54, and Strongly Overvalued above 11.54. The current Forward P/OCF of 12.03 falls within the Strongly Overvalued range.

15.39

P/FCF

SGHC Ltd. (SGHC) has a current P/FCF of 15.39. The 5-year average P/FCF is 12.63. The thresholds are as follows: Strongly Undervalued below -12.86, Undervalued between -12.86 and -0.11, Fairly Valued between 25.37 and -0.11, Overvalued between 25.37 and 38.11, and Strongly Overvalued above 38.11. The current Forward P/FCF of 15.39 falls within the Historic Trend Line -Fairly Valued range.

SGHC Ltd (SGHC) has a current Price-to-Book (P/B) ratio of 8.38. Compared to its 3-year average P/B ratio of 4.00 , the current P/B ratio is approximately 109.32% higher. Relative to its 5-year average P/B ratio of 5.13, the current P/B ratio is about 63.28% higher. SGHC Ltd (SGHC) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 1.95%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 8.81% , the current FCF yield is about -100.00% lower.

8.38

P/B

Median3y

4.00

Median5y

5.13

0.00

FCF Yield

Median3y

1.95

Median5y

8.81

Competitors Valuation Multiple

The average P/S ratio for SGHC's competitors is 1.56, providing a benchmark for relative valuation. SGHC Ltd Corp (SGHC) exhibits a P/S ratio of 2.55, which is 63.27% above the industry average. Given its robust revenue growth of 25.49%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Caesars Entertainment Inc

Rush Street Interactive Inc

Brightstar Lottery PLC

1.19

-39.85%

3.07B

Performance Decomposition

Market capitalization of SGHC increased by 219.88% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 13.80 to 40.01.

The secondary factor is the Revenue Growth, contributed 25.49%to the performance.

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

25.49%

412.00M → 517.00M

Revenue Growth

4.49%

10.92 → 11.41

Margin Expansion

189.90%

13.80 → 40.01

P/E Change

219.88%