Rakuten Valuation
| RKUNF Stock | USD 4.82 0.28 5.49% |
At this time, the company appears to be overvalued. Rakuten Group holds a recent Real Value of $4.1 per share. The prevailing price of the company is $4.82. Our model determines the value of Rakuten Group from analyzing the company fundamentals such as Return On Equity of -0.28, operating margin of (0.25) %, and Shares Outstanding of 1.59 B as well as examining its technical indicators and probability of bankruptcy. In general, most investors support locking in undervalued entities and disposing overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
Overvalued
Today
Please note that Rakuten's price fluctuation is relatively risky at this time. Calculation of the real value of Rakuten Group is based on 3 months time horizon. Increasing Rakuten's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Rakuten Group is useful when determining the fair value of the Rakuten pink sheet, which is usually determined by what a typical buyer is willing to pay for full or partial control of Rakuten. Since Rakuten is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Rakuten Pink Sheet. However, Rakuten'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 4.82 | Real 4.1 | Hype 4.82 |
The real value of Rakuten Pink Sheet, also known as its intrinsic value, is the underlying worth of Rakuten Group Company, which is reflected in its stock price. It is based on Rakuten's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Rakuten'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 Rakuten'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 Rakuten Group helps investors to forecast how Rakuten 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 Rakuten more accurately as focusing exclusively on Rakuten's fundamentals will not take into account other important factors: Rakuten Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Rakuten's current stock value. Our valuation model uses many indicators to compare Rakuten value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Rakuten competition to find correlations between indicators driving Rakuten's intrinsic value. More Info.Rakuten Group is currently regarded as top stock in price to earning category among related companies. It is currently regarded as top stock in price to book category among related companies fabricating about 0.07 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Rakuten Group is roughly 13.38 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Rakuten by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Rakuten's Pink Sheet. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Rakuten's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Rakuten's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Rakuten and how it compares across the competition.
About Rakuten Valuation
The pink sheet valuation mechanism determines the current worth of Rakuten Group on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Rakuten Group. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Rakuten Group based exclusively on its fundamental and basic technical indicators. By analyzing Rakuten's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Rakuten's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Rakuten. We calculate exposure to Rakuten's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Rakuten's related companies.Rakuten Group, Inc. offers internet services in Japan and internationally. Rakuten Group, Inc. was incorporated in 1997 and is headquartered in Tokyo, Japan. Rakuten operates under Internet Retail classification in the United States and is traded on OTC Exchange. It employs 28261 people.
8 Steps to conduct Rakuten's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Rakuten'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 Rakuten's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Rakuten's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Rakuten's revenue streams: Identify Rakuten's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Rakuten's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Rakuten's growth potential: Evaluate Rakuten's management, business model, and growth potential.
- Determine Rakuten'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 Rakuten's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Rakuten 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. Note, investing in growth stocks can be very risky. If the company such as Rakuten does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 1.5 B | |
| Forward Price Earnings | 526.3158 | |
| Retained Earnings | 142.7 B |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Rakuten Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors. You can also try the Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Complementary Tools for Rakuten Pink Sheet analysis
When running Rakuten's price analysis, check to measure Rakuten'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 Rakuten is operating at the current time. Most of Rakuten's value examination focuses on studying past and present price action to predict the probability of Rakuten's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Rakuten's price. Additionally, you may evaluate how the addition of Rakuten to your portfolios can decrease your overall portfolio volatility.
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