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QuestionsCategory: Valuation QuadrantIntrinsic value for Kingmen Creatives
Elmo asked 5 years ago

Hi Rusmin and Victor,
May I know if PE ratio can be used to calculate the intrinsic value of Kingsmen? Thanks!

1 Answers
Victor Chng answered 5 years ago

Hi Lee Mei,
Yes, you can use PE ratio to calculate Kingsmen intrinsic value but you also must take note that their earnings currently are depressed due to slow down in their retail sector. Hence, it is more appropriate to use their average EPS.