Magazine Luiza Valuation
| MGLUY Stock | USD 5.60 1.10 16.42% |
At this time, the firm appears to be overvalued. Magazine Luiza SA secures a last-minute Real Value of $5.37 per share. The latest price of the firm is $5.6. Our model forecasts the value of Magazine Luiza SA from analyzing the firm fundamentals such as Profit Margin of (0.01) %, return on equity of -0.0341, and Current Valuation of 5.21 B as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Magazine Luiza's price fluctuation is moderately volatile at this time. Calculation of the real value of Magazine Luiza SA is based on 3 months time horizon. Increasing Magazine Luiza's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Magazine Luiza is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Magazine Pink Sheet. However, Magazine Luiza'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 5.6 | Real 5.37 | Hype 5.6 |
The intrinsic value of Magazine Luiza'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 Magazine Luiza'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 Magazine Luiza SA helps investors to forecast how Magazine pink sheet's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Magazine Luiza more accurately as focusing exclusively on Magazine Luiza's fundamentals will not take into account other important factors: Magazine Luiza Total Value Analysis
Magazine Luiza SA is now anticipated to have takeover price of 5.21 B with market capitalization of 5.19 B, debt of 6.38 B, and cash on hands of 1.92 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 Magazine Luiza fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
5.21 B | 5.19 B | 6.38 B | 1.92 B |
Magazine Luiza Investor Information
The company has price-to-book ratio of 1.81. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Magazine Luiza SA last dividend was issued on the 9th of July 2021. Based on the key measurements obtained from Magazine Luiza's financial statements, Magazine Luiza SA is not in a good financial situation at this time. It has a very high probability of going through financial hardship in January.Magazine Luiza Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The current return on assets of Magazine suggests not a very effective usage of assets in December.Magazine Luiza Profitability Analysis
The company reported the revenue of 35.28 B. Net Income was 590.66 M with profit before overhead, payroll, taxes, and interest of 8.49 B.About Magazine Luiza Valuation
Our relative valuation model uses a comparative analysis of Magazine Luiza. We calculate exposure to Magazine Luiza's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Magazine Luiza's related companies.Magazine Luiza S.A. engages in the retail sale of consumer goods. Magazine Luiza S.A. is a subsidiary of LTD Administrao e Participao S.A. Magazine Luiza operates under Specialty Retail classification in the United States and is traded on OTC Exchange. It employs 40000 people.
8 Steps to conduct Magazine Luiza's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Magazine Luiza'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 Magazine Luiza's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Magazine Luiza's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Magazine Luiza's revenue streams: Identify Magazine Luiza's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Magazine Luiza's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Magazine Luiza's growth potential: Evaluate Magazine Luiza's management, business model, and growth potential.
- Determine Magazine Luiza'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 Magazine Luiza's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Magazine Luiza Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 6.7 B | |
| Quarterly Earnings Growth Y O Y | -0.607 | |
| Forward Price Earnings | 126.5823 | |
| Retained Earnings | 2 B |
Additional Tools for Magazine Pink Sheet Analysis
When running Magazine Luiza's price analysis, check to measure Magazine Luiza'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 Magazine Luiza is operating at the current time. Most of Magazine Luiza's value examination focuses on studying past and present price action to predict the probability of Magazine Luiza's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Magazine Luiza's price. Additionally, you may evaluate how the addition of Magazine Luiza to your portfolios can decrease your overall portfolio volatility.