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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: 3.01 HKD -0.99% Market Closed
Market Cap: HK$18.7B

EV/GP

1.8
Current
8%
Cheaper
vs 3-y average of 2

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
1.8
=
Enterprise Value
HK$21.9B
/
Gross Profit
¥10.1B

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
1.8
=
Enterprise Value
HK$21.9B
/
Gross Profit
¥10.1B

Valuation Scenarios

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

If EV/GP returns to its 3-Year Average (2), the stock would be worth HK$3.27 (9% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+636%
Average Upside
228%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 1.8 HK$3.01
0%
3-Year Average 2 HK$3.27
+9%
5-Year Average 2.5 HK$4.06
+35%
Industry Average 6.1 HK$9.97
+231%
Country Average 13.6 HK$22.16
+636%

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

Market Distribution

Lower than 94% of companies in China
Percentile
6th
Based on 6 967 companies
6th percentile
1.8
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

Topsports International Holdings Ltd
Glance View

Market Cap
18.7B 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$3.01
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