The9 Limited (NCTY) Valuation — DCF, Graham & Comparables

The9 Limited (NCTY) — Price $3.90 Financial ServicesFinancial - Capital Markets — NASDAQ

Latest reported results:

Valuation dashboard for The9 Limited (NCTY) with P/E 1.91, P/B 0.49, EV/EBITDA -3.91 and dividend yield 0.00%. DCF, Graham Number and Earnings Power Value models plus sector comparison against other Financial Services companies.

The9 Limited, an internet enterprise established in 1999 and based in Shanghai, People's Republic of China, conducts its operations through its various subsidiaries. The company's core activities encompass digital currency mining and the oversight of NFTSTAR, its dedicated non-fungible token (NFT) trading and community platform. NFTSTAR facilitates user engagement by enabling the purchase, exchange, and interaction with various digital assets.

Analysis Summary

The9 Limited reported revenue of $107.9M in the most recent fiscal year, growing at a 5-year CAGR of 180.1%.

Trailing-twelve-month margins: gross margin 12.4%, operating margin -5.9%, net margin 69.1%.

At the current price of $3.90, NCTY trades at a P/E of 1.91 and an ROE of 9.98%. Market capitalisation stands at $59M.

Balance sheet quality for NCTY: current ratio of 1.0. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio1.91
Price / Book0.49
EV / EBITDA-3.91
Dividend Yield0.00%

Valuation Models

DCF Fair Value$-21.65
vs Current Price-655.2%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
NCTYThe9 Limited$59M1.910.4910.0%
0QYU.LMorgan Stanley$326.4B16.882.9918.1%
MSMorgan Stanley$319.4B15.382.7218.1%
GSThe Goldman Sachs Group, Inc.$276.7B13.562.1817.0%
0L3I.LThe Charles Schwab Corporation$186.2B21.193.6117.9%
SCHWThe Charles Schwab Corporation$182.9B19.243.6920.4%
HOODRobinhood Markets, Inc.$93.9B44.359.7222.7%
NMRNomura Holdings, Inc.$30.5B0.321.21395.4%

Price

Price$3.90
Market Cap$59M
ExchangeNASDAQ
CountryCN

Profitability

Return on Equity9.98%
Return on Invested Capital-42.72%
Return on Assets4.36%
Gross Margin12.41%
Operating Margin-590.15%
Net Margin69.06%

Related companies: BLIV · INTZ · KTCC · LPSN · MFI · MOBX · SNAL

Explore sector: Financial Services · Financial - Capital Markets

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