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Topsports International Holdings Ltd
HKEX:6110

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Topsports International Holdings Ltd
HKEX:6110
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Price: 3 HKD 1.69% Market Closed
Market Cap: HK$18.6B

EV/FCFF

8.6
Current
4%
More Expensive
vs 3-y average of 8.2

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
8.6
=
Enterprise Value
HK$21.9B
/
Free Cash Flow to Firm
¥2.2B

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
8.6
=
Enterprise Value
HK$21.9B
/
Free Cash Flow to Firm
¥2.2B

Valuation Scenarios

Topsports International Holdings Ltd is trading above its 3-year average

If EV/FCFF returns to its 3-Year Average (8.2), the stock would be worth HK$2.88 (4% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-4%
Maximum Upside
+236%
Average Upside
86%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 8.6 HK$3
0%
3-Year Average 8.2 HK$2.88
-4%
5-Year Average 8.4 HK$2.95
-2%
Industry Average 18.3 HK$6.42
+114%
Country Average 28.8 HK$10.07
+236%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close

Market Distribution

Lower than 84% of companies in China
Percentile
16th
Based on 4 731 companies
16th percentile
8.6
Low
0 — 14.5
Typical Range
14.5 — 57
High
57 —
Distribution Statistics
China
Min 0
30th Percentile 14.5
Median 28.8
70th Percentile 57
Max 307 555.7

Topsports International Holdings Ltd
Glance View

Market Cap
18.6B HKD
Industry
Retail

In the dynamic world of sports retail in China, Topsports International Holdings Ltd. has carved out a significant niche, standing as a major force connecting global sports brands with the burgeoning consumer base in one of the world's most rapidly evolving markets. Established in 1999, the company has swiftly ascended the ranks to become a go-to partner for behemoths like Nike and Adidas, operating a sprawling network of retail stores that dot the Chinese landscape. With an adept understanding of local consumer preferences and a strategic blend of digital and physical retail channels, Topsports has effectively positioned itself as an indispensable link in the supply chain of athletic footwear and apparel. This has allowed them to tap into the increasing demand for branded sportswear, fueled by a growing middle class with a penchant for active lifestyles and global fashion trends. What sets Topsports apart is its robust and well-curated distribution network, which underpins its ability to maintain consistent revenue streams. The company leverages an extensive retail infrastructure that combines flagship stores, shop-in-shop arrangements, and a strong e-commerce presence, all tailored to accentuate brand visibility and consumer engagement. Through this multi-faceted approach, Topsports not only facilitates transactions but also enhances brand experiences, driving deeper customer loyalty and repeated footfall. By amalgamating advanced data analytics with their omnichannel strategy, they deftly manage inventory and cater to regional tastes, optimizing operational efficiencies. This business model not only ensures a steady flow of income through sales but also strengthens their negotiation position with global brand partners, securing favorable terms that bolster profitability.

Intrinsic Value
6.51 HKD
Undervaluation 54%
Intrinsic Value
Price HK$3
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