Ariana Resources Fair Value
AA
The fair market value of AAU.L stock is 1.22 GBX. Relative to the market price of 2.45 GBX Ariana Resources is overvalued by 50.1%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Ariana Resources Valuation
Current AAU.L share ticker price is 2.45 GBX.
The fair value level of 1.22 GBX can be considered as an effective entry point for long-term investors to start investing in AAU.L stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 50% higher its fair value
Current price is 63% higher its minimum value
Current price is 8% higher its maximum value
Market price:
AAU.L stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Ariana Resources PLC Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
15.08
2
Median P/E over 5 years
8.19
3
Minimum P/E over 5 years
6.11
4
Earning per share (last 12 months)
0.15 GBP
Maximum value
1
x
4
=
2.25 GBX
Fair value
2
x
4
=
1.22 GBX
Minimum value
3
x
4
=
0.91 GBX
Ariana Resources PLC price metrics
5.55
Annual return (geometric mean)
51.93
Risk (standard deviation) of returns
β
-0.28
Beta (volatility compared to market)