Sohu Inc Stock Valuation

SOHU
 Stock
  

USD 17.63  0.50  2.92%   

What would the acquisition value of Sohu Inc ADR be today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Sohu Inc, is its stock price multiplied by the total number of shares outstanding, calculating Sohu Inc's enterprise value requires a different approach. It uses Sohu Inc's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Sohu Inc ADR has a current Real Value of $19.6 per share. The regular price of the company is $17.63. At this time, the company appears to be undervalued. Our model measures the value of Sohu Inc ADR from inspecting the company fundamentals such as Operating Margin of 7.36 %, shares outstanding of 39.31 M, and Return On Equity of 3.44 % as well as reviewing its technical indicators and Probability Of Bankruptcy. In general, we recommend acquiring undervalued stocks and selling overvalued stocks since, at some point, asset prices and their ongoing real values will draw towards each other.
  
Sohu Inc Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Sohu Inc's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Sohu Inc Most Recent Valuation Data

Price Book
0.51
Address
Sohu.com Media Plaza, Beijing, China, 100190
Price Sales
0.83
EBITDA
78.7 M
Beta
1.52
Fiscal Year End
December
Industry
Electronic Gaming & Multimedia
Undervalued
Today 17.63
Please note that Sohu Inc's price fluctuation is not too volatile at this time. Calculation of the real value of Sohu Inc ADR is based on 3 months time horizon. Increasing Sohu Inc's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Sohu Inc ADR is useful when determining the fair value of the Sohu Inc stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Sohu Inc. Since Sohu Inc is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Sohu Inc Stock. However, Sohu Inc'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.
19.60
Real Value
22.48
Upside
Estimating the potential upside or downside of Sohu Inc ADR helps investors to forecast how Sohu Inc stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Sohu Inc more accurately as focusing exclusively on Sohu Inc's fundamentals will not take into account other important factors:
Earnings
Estimates (1)
LowProjected EPSHigh
22.7222.7222.72
Details
Hype
Prediction
LowEstimated ValueHigh
14.8617.7420.62
Details
Naive
Forecast
LowNext ValueHigh
15.0017.8920.77
Details
2 Analysts
Consensus
LowTarget PriceHigh
19.0021.3523.70
Details

Sohu Inc Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Sohu Inc's current stock value. Our valuation model uses many indicators to compare Sohu Inc value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Sohu Inc competition to find correlations between indicators driving Sohu Inc's intrinsic value. More Info.
Sohu Inc ADR is currently regarded as top stock in price to book category among related companies. It is currently regarded as top stock in beta category among related companies totaling about  3.02  of Beta per Price to Book. . Comparative valuation analysis is a catch-all model that can be used if you cannot value Sohu Inc by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Sohu Inc's Stock . 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 Sohu Inc'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 Sohu Inc'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 Sohu Inc and how it compares across the competition.

About Sohu Inc Valuation

The equity valuation mechanism determines the current worth of Sohu Inc ADR on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Sohu Inc ADR. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Sohu Inc ADR based exclusively on its fundamental and basic technical indicators. By analyzing Sohu Inc'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 Sohu Inc'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 Sohu Inc. We calculate exposure to Sohu Inc's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Sohu Inc's related companies.
Fiscal Year End
December
Industry
Electronic Gaming & Multimedia
Concentration
Interactive Media & Services
Full Time Employees
4.9 K
Service Category
Interactive Media & Services
Employer Id Number
98-0204667
Sohu.com Limited provides online media, video, and game products and services on PCs and mobile devices in China. Sohu.com Limited was incorporated in 1996 and is headquartered in Beijing, China. Sohu Inc operates under Electronic Gaming Multimedia classification in the United States and is traded on NASDAQ Exchange. It employs 4900 people.

Sohu Inc Valuation Growth Rates

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 Sohu Inc 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.
Quick Ratio2.94
Earnings Quarterly Growth-94.60%
Revenue Growth-12.90%
Enterprise Value To Ebitda-7.84
Earnings Growth-94.40%
Enterprise Value To Revenue-0.92
Additionally, take a look at World Market Map. Note that the Sohu Inc ADR information on this page should be used as a complementary analysis to other Sohu Inc's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Fund Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

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When running Sohu Inc ADR price analysis, check to measure Sohu Inc'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 Sohu Inc is operating at the current time. Most of Sohu Inc's value examination focuses on studying past and present price action to predict the probability of Sohu Inc's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Sohu Inc's price. Additionally, you may evaluate how the addition of Sohu Inc to your portfolios can decrease your overall portfolio volatility.
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Is Sohu Inc's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Sohu Inc. If investors know Sohu Inc will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Sohu Inc listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.76
Market Capitalization
663.1 M
Quarterly Revenue Growth YOY
-0.047
Return On Assets
0.0109
Return On Equity
0.0228
The market value of Sohu Inc ADR is measured differently than its book value, which is the value of Sohu Inc that is recorded on the company's balance sheet. Investors also form their own opinion of Sohu Inc's value that differs from its market value or its book value, called intrinsic value, which is Sohu Inc's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sohu Inc's market value can be influenced by many factors that don't directly affect Sohu Inc's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sohu Inc's value and its price as these two are different measures arrived at by different means. Investors typically determine Sohu Inc value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sohu Inc's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.