Raytech Holding Limited Ordinary Shares (RAY)
Valuation Overview•Is Raytech Holding Limited Ordinary Shares Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
Moderate quality score of 52/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Average quality business weighed down by significant profitability concerns.
Wall Street sentiment is generally neutral. The company currently dilutes shareholders to fund operations and growth rather than returning capital.
RAY struggles with subpar profitability and pressured margins. This is backed by a fortress balance sheet, holding significant net cash ($85M) and minimal debt risk.
The company is driving exceptional top-line expansion (20.4% 3Y CAGR) however, earnings have severely contracted over the same period. Operating efficiency remains adequate with margins around 11.1%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $37.4M | +17.6% | +20.4% | — | — | |
| EBITDA | $5.8M | — | -10.6% | — | — | |
| Net Income | $4.7M | -16.8% | -4.3% | — | — | |
| EPS (Diluted) | $1.68 | -22.7% | -3.9% | — | — | |
| Free Cash Flow | $1.5M | -60.5% | +80.6% | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 22.5% | 16.0% | 15.3% | 15.3% |
| Operating Margin | 11.1% | 14.2% | 17.5% | 17.5% |
| Net Margin | 11.0% | 13.1% | 15.5% | 15.5% |
| FCF Margin | 4.7% | 11.5% | 11.6% | 11.6% |
Total return is -84.9% (1Y), lagging the benchmark by -105.7%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +36.8% | +29.5% | — |
| 1Y | -84.9% | -105.7% | — |
| 3YCAGR | -65.2% | -84.5% | — |
| 5YCAGR | -46.9% | -58.4% | — |
| 10YCAGR | -27.1% | -40.8% | — |
The S&P 500 is at 31.0x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Raytech Holding Limited Ordinary Shares (RAY) valuation, health, and returns.
Based on peer relative multiples, Raytech Holding Limited Ordinary Shares appears Limited: Cheap versus peers compared to industry peers.
Raytech Holding Limited Ordinary Shares has multiple valuation anchors: Peer Relative Fair Value: $40.88. A convergence of these signals offers higher conviction.
Raytech Holding Limited Ordinary Shares displays fair financial health with a composite quality score of 52/100, supported by a Altman Z-Score of 3.7 (safe zone), Piotroski F-Score of 4/9.
Raytech Holding Limited Ordinary Shares does not return material capital to shareholders via dividends or share repurchases, electing to retain earnings to fund internal growth.
Raytech Holding Limited Ordinary Shares's current growth trajectory is Decelerating. The company achieved +17.6% 1Y revenue growth and -22.7% 1Y EPS growth, compared to its 3Y revenue CAGR of +20.4%.
Wall Street consensus is Hold based on 0 analysts. The consensus price target represents a N/A change from current levels.
Investment risks for Raytech Holding Limited Ordinary Shares include: -96.8% 1-year max drawdown. Volatility risk is characterized by a beta of -0.06x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.