IPO's for small companies are often overvalued. This is because the minimum IPO share price is 20 cents.
We can use a PE ratio and EBITDA of $6.6m to determine fair value if the company stopped investing in acquisitions.
A PE ratio of 5 suggests the share price should be around 9 cents. Therefore I would not purchase shares at 20 cents.
IPO's for small companies are often overvalued. This is because...
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Last
1.1¢ |
Change
-0.001(8.33%) |
Mkt cap ! $3.98M | |||
| Open | High | Low | Value | Volume |
| 1.1¢ | 1.1¢ | 1.1¢ | $1.364K | 124.0K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 590909 | 1.1¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 1.2¢ | 449333 | 7 |
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| Last trade - 12.40pm 21/05/2024 (20 minute delay) ? |
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Last
1.1¢ |
Change
-0.001 ( 0.00 %) |
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| Open | High | Low | Volume | ||
| 1.1¢ | 1.1¢ | 1.0¢ | 177434 | ||
| Last updated 15.14pm 21/05/2024 ? | |||||
| VN8 (ASX) Chart |