Lojas Renner Valuation
| LREN3 Stock | BRL 15.06 0.56 3.86% |
At this time, the firm appears to be overvalued. Lojas Renner SA secures a last-minute Real Value of R$12.98 per share. The latest price of the firm is R$15.06. Our model forecasts the value of Lojas Renner SA from analyzing the firm fundamentals such as Return On Equity of 0.13, current valuation of 21.64 B, and Profit Margin of 0.09 % as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Lojas Renner's price fluctuation is not too volatile at this time. Calculation of the real value of Lojas Renner SA is based on 3 months time horizon. Increasing Lojas Renner's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Lojas stock is determined by what a typical buyer is willing to pay for full or partial control of Lojas Renner SA. Since Lojas Renner is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Lojas Stock. However, Lojas Renner's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 15.06 | Real 12.98 | Hype 15.06 | Naive 15.75 |
The intrinsic value of Lojas Renner's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Lojas Renner's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Lojas Renner SA helps investors to forecast how Lojas stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Lojas Renner more accurately as focusing exclusively on Lojas Renner's fundamentals will not take into account other important factors: Lojas Renner Total Value Analysis
Lojas Renner SA is now projected to have takeover price of 21.64 B with market capitalization of 18.16 B, debt of 3.38 B, and cash on hands of 5.19 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Lojas Renner fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
21.64 B | 18.16 B | 3.38 B | 5.19 B |
Lojas Renner Investor Information
About 73.0% of the company shares are owned by institutional investors. The book value of Lojas Renner was now reported as 10.1. The company has Price/Earnings To Growth (PEG) ratio of 1.57. Lojas Renner SA last dividend was issued on the 23rd of December 2022. The entity had 10:11 split on the 31st of August 2024. Based on the analysis of Lojas Renner's profitability, liquidity, and operating efficiency, Lojas Renner SA is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Lojas Renner Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Lojas Renner has an asset utilization ratio of 49.37 percent. This implies that the Company is making R$0.49 for each dollar of assets. An increasing asset utilization means that Lojas Renner SA is more efficient with each dollar of assets it utilizes for everyday operations.Lojas Renner Ownership Allocation
Lojas Renner SA maintains a total of 968.29 Million outstanding shares. The majority of Lojas Renner outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Lojas Renner SA to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Lojas Renner SA. Please pay attention to any change in the institutional holdings of Lojas Renner as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.Lojas Renner Profitability Analysis
The company reported the revenue of 10.57 B. Net Income was 633.11 M with profit before overhead, payroll, taxes, and interest of 6.17 B.About Lojas Renner Valuation
The stock valuation mechanism determines Lojas Renner's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Lojas Renner SA based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Lojas Renner. We calculate exposure to Lojas Renner's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Lojas Renner's related companies.Lojas Renner S.A., together with its subsidiaries, operates as a fashion and lifestyle company in Brazil, Uruguay, and Argentina. The company was incorporated in 1965 and is headquartered in Porto Alegre, Brazil. LOJAS RENNERON is traded on Sao Paolo Stock Exchange in Brazil.
8 Steps to conduct Lojas Renner's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Lojas Renner's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Lojas Renner's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Lojas Renner's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Lojas Renner's revenue streams: Identify Lojas Renner's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Lojas Renner's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Lojas Renner's growth potential: Evaluate Lojas Renner's management, business model, and growth potential.
- Determine Lojas Renner's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Lojas Renner's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Lojas Stock Analysis
When running Lojas Renner's price analysis, check to measure Lojas Renner's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lojas Renner is operating at the current time. Most of Lojas Renner's value examination focuses on studying past and present price action to predict the probability of Lojas Renner's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lojas Renner's price. Additionally, you may evaluate how the addition of Lojas Renner to your portfolios can decrease your overall portfolio volatility.