Dada Nexus Stock Valuation

DADA
 Stock
  

USD 4.63  0.19  3.94%   

Do you wonder what the value of Dada Nexus is? 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 Dada Nexus, is its stock price multiplied by the total number of shares outstanding, calculating Dada Nexus' enterprise value requires a different approach. It uses Dada Nexus' balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Dada Nexus shows a prevailing Real Value of $13.1 per share. The current price of the firm is $4.63. At this time, the firm appears to be undervalued. Our model computes the value of Dada Nexus from reviewing the firm fundamentals such as Operating Margin of (34.12) %, current valuation of (2.64 B), and Profit Margin of (32.76) % as well as analyzing its technical indicators and Probability Of Bankruptcy. In general, we advise taking in undervalued instruments and trading overvalued instruments since, at some point, asset prices and their ongoing real values will submerge.
  
Dada Nexus 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 Dada Nexus's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Undervalued
Today 4.63
Please note that Dada Nexus' price fluctuation is somewhat reliable at this time. Calculation of the real value of Dada Nexus is based on 3 months time horizon. Increasing Dada Nexus' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Dada Nexus is useful when determining the fair value of the Dada Nexus stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Dada Nexus. Since Dada Nexus is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Dada Nexus Stock. However, Dada Nexus' 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.
13.10
Real Value
17.46
Upside
Estimating the potential upside or downside of Dada Nexus helps investors to forecast how Dada Nexus 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 Dada Nexus more accurately as focusing exclusively on Dada Nexus' fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
4.635.145.65
Details
Hype
Prediction
LowEstimated ValueHigh
0.214.228.58
Details
Naive
Forecast
LowNext ValueHigh
0.314.679.03
Details
6 Analysts
Consensus
LowTarget PriceHigh
31.6038.6048.00
Details

Dada Nexus Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Dada Nexus's current stock value. Our valuation model uses many indicators to compare Dada Nexus value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Dada Nexus competition to find correlations between indicators driving Dada Nexus's intrinsic value. More Info.
Dada Nexus is rated # 2 in price to book category among related companies. It is one of the top stocks in price to sales category among related companies fabricating about  0.83  of Price to Sales per Price to Book. The ratio of Price to Book to Price to Sales for Dada Nexus is roughly  1.20 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Dada Nexus by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Dada Nexus' 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 Dada Nexus' 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 Dada Nexus' 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 Dada Nexus and how it compares across the competition.

About Dada Nexus Valuation

The stock valuation mechanism determines the current worth of Dada Nexus on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Dada Nexus. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Dada Nexus based exclusively on its fundamental and basic technical indicators. By analyzing Dada Nexus'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 Dada Nexus'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 Dada Nexus. We calculate exposure to Dada Nexus's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Dada Nexus's related companies.
Dada Nexus Limited operates a platform of local on-demand retail and delivery in the Peoples Republic of China. The company was incorporated in 2014 and is headquartered in Shanghai, the Peoples Republic of China. Dada Nexus operates under Internet Retail classification in the United States and is traded on NASDAQ Exchange. It employs 3132 people.

Dada Nexus 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 Dada Nexus 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 Ratio4.32
Revenue Growth21.10%
Enterprise Value To Ebitda1.16
Enterprise Value To Revenue-0.37
Continue to Investing Opportunities. Note that the Dada Nexus information on this page should be used as a complementary analysis to other Dada Nexus' 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 Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.

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When running Dada Nexus price analysis, check to measure Dada Nexus' 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 Dada Nexus is operating at the current time. Most of Dada Nexus' value examination focuses on studying past and present price action to predict the probability of Dada Nexus' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Dada Nexus' price. Additionally, you may evaluate how the addition of Dada Nexus to your portfolios can decrease your overall portfolio volatility.
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Is Dada Nexus' 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 Dada Nexus. If investors know Dada Nexus 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 Dada Nexus listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Dada Nexus is measured differently than its book value, which is the value of Dada Nexus that is recorded on the company's balance sheet. Investors also form their own opinion of Dada Nexus' value that differs from its market value or its book value, called intrinsic value, which is Dada Nexus' 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 Dada Nexus' market value can be influenced by many factors that don't directly affect Dada Nexus' 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 Dada Nexus' value and its price as these two are different measures arrived at by different means. Investors typically determine Dada Nexus value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dada Nexus' 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.