Daqo New Stock Valuation

DQ
 Stock
  

USD 49.95  2.89  5.47%   

What is the intrinsic value of Daqo New stock? 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 Daqo New, is its stock price multiplied by the total number of shares outstanding, calculating Daqo New's enterprise value requires a different approach. It uses Daqo New's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
Daqo New Energy shows a prevailing Real Value of $62.07 per share. The current price of the firm is $49.95. At this time, the firm appears to be undervalued. Our model computes the value of Daqo New Energy from reviewing the firm fundamentals such as Current Valuation of 4.33 B, profit margin of 44.45 %, and Shares Outstanding of 73.51 M as well as analyzing its technical indicators and Probability Of Bankruptcy. In general, we advise obtaining undervalued instruments and abandoning overvalued instruments since, at some point, asset prices and their ongoing real values will submerge.
  
Daqo New 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 Daqo New'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 49.95
Please note that Daqo New's price fluctuation is very steady at this time. Calculation of the real value of Daqo New Energy is based on 3 months time horizon. Increasing Daqo New's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Daqo New Energy is useful when determining the fair value of the Daqo New stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Daqo New. Since Daqo New is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Daqo New Stock. However, Daqo New'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.
62.07
Real Value
66.40
Upside
Estimating the potential upside or downside of Daqo New Energy helps investors to forecast how Daqo New 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 Daqo New more accurately as focusing exclusively on Daqo New's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
53.0159.0965.16
Details
Hype
Prediction
LowEstimated ValueHigh
44.7249.0553.38
Details
Naive
Forecast
LowNext ValueHigh
45.5649.8954.23
Details
4 Analysts
Consensus
LowTarget PriceHigh
44.0078.68139.10
Details

Daqo New Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Daqo New's current stock value. Our valuation model uses many indicators to compare Daqo New value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Daqo New competition to find correlations between indicators driving Daqo New's intrinsic value. More Info.
Daqo New Energy is one of the top stocks in price to sales category among related companies. It is one of the top stocks in beta category among related companies totaling about  0.29  of Beta per Price to Sales. The ratio of Price to Sales to Beta for Daqo New Energy is roughly  3.41 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Daqo New by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Daqo New'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 Daqo New'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 Daqo New'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 Daqo New and how it compares across the competition.

About Daqo New Valuation

The stock valuation mechanism determines the current worth of Daqo New Energy on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Daqo New Energy. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Daqo New Energy based exclusively on its fundamental and basic technical indicators. By analyzing Daqo New'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 Daqo New'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 Daqo New. We calculate exposure to Daqo New's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Daqo New's related companies.
Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufactures in the Peoples Republic of China. Daqo New Energy Corp. was founded in 2006 and is based in Shanghai, the Peoples Republic of China. Daqo New operates under Semiconductor Equipment Materials classification in the United States and is traded on New York Stock Exchange. It employs 2399 people.

Daqo New 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 Daqo New 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 Ratio2.85
Earnings Quarterly Growth543.90%
Revenue Growth399.90%
Enterprise Value To Ebitda2.37
Earnings Growth536.40%
Enterprise Value To Revenue1.60
Continue to Investing Opportunities. You can also try Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.

Complementary Tools for analysis

When running Daqo New Energy price analysis, check to measure Daqo New'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 Daqo New is operating at the current time. Most of Daqo New's value examination focuses on studying past and present price action to predict the probability of Daqo New's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Daqo New's price. Additionally, you may evaluate how the addition of Daqo New to your portfolios can decrease your overall portfolio volatility.
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Go
Equity Forecasting
Use basic forecasting models to generate price predictions and determine price momentum
Go
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume
Go
Portfolio Diagnostics
Use generated alerts and portfolio events aggregator to diagnose current holdings
Go
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Go
Portfolio Anywhere
Track or share privately all of your investments from the convenience of any device
Go
Positions Ratings
Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Is Daqo New'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 Daqo New. If investors know Daqo New 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 Daqo New 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 Daqo New Energy is measured differently than its book value, which is the value of Daqo New that is recorded on the company's balance sheet. Investors also form their own opinion of Daqo New's value that differs from its market value or its book value, called intrinsic value, which is Daqo New'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 Daqo New's market value can be influenced by many factors that don't directly affect Daqo New'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 Daqo New's value and its price as these two are different measures arrived at by different means. Investors typically determine Daqo New value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Daqo New'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.