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Lianlian DigiTech Co Ltd
HKEX:2598

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Lianlian DigiTech Co Ltd
HKEX:2598
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Price: 5.71 HKD -2.39% Market Closed
Market Cap: HK$6.4B

EV/GP

4.1
Current
53%
Cheaper
vs 3-y average of 8.7

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
4.1
=
Enterprise Value
HK$4.3B
/
Gross Profit
¥873.5m

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
4.1
=
Enterprise Value
HK$4.3B
/
Gross Profit
¥873.5m

Valuation Scenarios

Lianlian DigiTech Co Ltd is trading below its 3-year average

If EV/GP returns to its 3-Year Average (8.7), the stock would be worth HK$12.18 (113% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+235%
Average Upside
155%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 4.1 HK$5.71
0%
3-Year Average 8.7 HK$12.18
+113%
5-Year Average 8.7 HK$12.18
+113%
Industry Average 10.5 HK$14.75
+158%
Country Average 13.6 HK$19.1
+235%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close
P/E Multiple
Earnings Growth PEG
CN
L
Lianlian DigiTech Co Ltd
HKEX:2598
Average P/E: 7 097.3
3.2
-42%
N/A
US
G
GE Vernova LLC
NYSE:GEV
Not Available
19%
N/A
UK
E
Eight Capital Partners PLC
F:ECS
Not Available N/A N/A
US
C
China Industrial Group Inc
OTC:CIND
4 020.7
N/A N/A
NL
N
Nepi Rockcastle NV
JSE:NRP
10.4
1%
10.4
US
F
Fintech Ecosystem Development Corp
NASDAQ:FEXD
38 368.9
N/A N/A
US
C
CoreWeave Inc
NASDAQ:CRWV
Not Available N/A N/A
CH
G
Galderma Group AG
SIX:GALD
Not Available
47%
N/A
US
Coupang Inc
F:788
173.5
96%
1.8
US
Symbotic Inc
NASDAQ:SYM
Negative Multiple: -3 256.9 N/A N/A
ZA
V
Vukile Property Fund Ltd
JSE:VKE
6.9
-5%
N/A

Market Distribution

Lower than 85% of companies in China
Percentile
15th
Based on 6 967 companies
15th percentile
4.1
Low
0 — 8
Typical Range
8 — 23.3
High
23.3 —
Distribution Statistics
China
Min 0
30th Percentile 8
Median 13.6
70th Percentile 23.3
Max 17 898 541.1

Lianlian DigiTech Co Ltd
Glance View

Market Cap
6.4B HKD
Industry
N/A

Lianlian DigiTech Co Ltd, often seen as a dynamic force in the financial technology sector, operates at the junction of finance and innovation. Founded with the vision of streamlining financial transactions, the company has become a pivotal player in digital payments and financial services across China. At its core, Lianlian DigiTech facilitates transactions by providing a robust platform for both consumers and businesses, effectively bridging gaps in the payments ecosystem. Their technology-driven approach ensures that money moves seamlessly, whether it’s settling a transaction between local businesses or supporting cross-border commerce. This emphasis on agility and efficiency has allowed Lianlian to establish a solid market presence, making their platforms indispensable for millions of users navigating the rapidly evolving economic landscape. The company generates revenue primarily through transaction fees and value-added services. Every time a customer or business utilizes Lianlian's platform for a payment or transfer, a small fee is charged, which accumulates into a significant income stream. Additionally, Lianlian offers a suite of financial products that cater to various market needs, from lending and micro-financing to investment management tools, each contributing to the company's bottom line. Their strategic partnerships with banks and other financial institutions enhance their service offerings, ensuring a continuous and diversified revenue flow. By leveraging cutting-edge technology alongside traditional financial wisdom, Lianlian DigiTech not only sustains its growth trajectory but also plays a crucial role in transforming the digital payments landscape in one of the world's largest economies.

Intrinsic Value
8.8 HKD
Undervaluation 35%
Intrinsic Value
Price HK$5.71
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