Childrens Place Valuation

PLCE Stock  USD 7.66  0.28  3.79%   
At this time, the firm appears to be fairly valued. Childrens Place shows a prevailing Real Value of $7.37 per share. The current price of the firm is $7.66. Our model approximates the value of Childrens Place from analyzing the firm fundamentals such as Current Valuation of 721.94 M, profit margin of (0.02) %, and Return On Equity of -5.22 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Childrens Place's valuation include:
Price Book
2.4285
Enterprise Value
721.9 M
Enterprise Value Ebitda
14.3319
Price Sales
0.1222
Forward PE
13.3156
Fairly Valued
Today
7.66
Please note that Childrens Place's price fluctuation is relatively risky at this time. Calculation of the real value of Childrens Place is based on 3 months time horizon. Increasing Childrens Place's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Childrens stock is determined by what a typical buyer is willing to pay for full or partial control of Childrens Place. Since Childrens Place is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Childrens Stock. However, Childrens Place'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.
Historical Market  7.66 Real  7.37 Target  8.0 Hype  7.66 Naive  7.29
The real value of Childrens Stock, also known as its intrinsic value, is the underlying worth of Childrens Place Company, which is reflected in its stock price. It is based on Childrens Place's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Childrens Place's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
7.37
Real Value
13.72
Upside
Estimating the potential upside or downside of Childrens Place helps investors to forecast how Childrens 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 Childrens Place more accurately as focusing exclusively on Childrens Place's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.140.140.14
Details
Hype
Prediction
LowEstimatedHigh
1.317.6614.01
Details
Naive
Forecast
LowNext ValueHigh
0.947.2913.64
Details
2 Analysts
Consensus
LowTarget PriceHigh
7.288.008.88
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Childrens Place's intrinsic value based on its ongoing forecasts of Childrens Place's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Childrens Place's closest peers. If more than one evaluation category is relevant for Childrens Place we suggest using both methods to arrive at a better estimate.

Childrens Place Cash

5.08 Million

Childrens Revenue by Product

Childrens Place Total Value Analysis

Childrens Place is at this time forecasted to have valuation of 721.94 M with market capitalization of 163.6 M, debt of 586.33 M, and cash on hands of 28.19 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Childrens Place fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
721.94 M
163.6 M
586.33 M
28.19 M

Childrens Place Investor Information

About 78.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.79. Childrens Place recorded a loss per share of 0.84. The entity last dividend was issued on the 13th of December 2019. Based on the measurements of operating efficiency obtained from Childrens Place's historical financial statements, Childrens Place is not in a good financial situation at the moment. It has a very high risk of going through financial straits in December.

Childrens Place Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Childrens Place has an asset utilization ratio of 185.44 percent. This indicates that the Company is making $1.85 for each dollar of assets. An increasing asset utilization means that Childrens Place is more efficient with each dollar of assets it utilizes for everyday operations.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid

Childrens Place Ownership Allocation

Childrens Place holds a total of 22.17 Million outstanding shares. The majority of Childrens Place outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Childrens Place to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Childrens Place. Please pay attention to any change in the institutional holdings of Childrens Place as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Childrens Place Profitability Analysis

The company reported the previous year's revenue of 1.39 B. Net Loss for the year was (57.82 M) with profit before overhead, payroll, taxes, and interest of 426.98 M.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Childrens Place'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 Childrens Place and how it compares across the competition.

About Childrens Place Valuation

The stock valuation mechanism determines Childrens Place's current worth on a weekly basis. Our valuation model uses a comparative analysis of Childrens Place. We calculate exposure to Childrens Place's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Childrens Place's related companies.
Last ReportedProjected for Next Year
Gross Profit459.5 M547.7 M
Pretax Profit Margin(0.04)(0.03)
Operating Profit Margin(0.01)(0.01)
Net Loss(0.04)(0.04)
Gross Profit Margin 0.33  0.41 

Childrens Place Growth Indicators

Investing in growth stocks can be very risky. If the company such as Childrens Place 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.
Common Stock Shares Outstanding12.8 M
Quarterly Earnings Growth Y O Y-0.485
Forward Price Earnings13.3156

Childrens Place Current Valuation Indicators

Valuation refers to the process of determining the present value of Childrens Place and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Childrens we look at many different elements of the entity such as Childrens's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Childrens Place, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Childrens Place's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Childrens Place's worth.

Complementary Tools for Childrens Stock analysis

When running Childrens Place's price analysis, check to measure Childrens Place'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 Childrens Place is operating at the current time. Most of Childrens Place's value examination focuses on studying past and present price action to predict the probability of Childrens Place's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Childrens Place's price. Additionally, you may evaluate how the addition of Childrens Place to your portfolios can decrease your overall portfolio volatility.
Piotroski F Score
Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals
Price Ceiling Movement
Calculate and plot Price Ceiling Movement for different equity instruments
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Money Managers
Screen money managers from public funds and ETFs managed around the world
Analyst Advice
Analyst recommendations and target price estimates broken down by several categories
Share Portfolio
Track or share privately all of your investments from the convenience of any device
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Premium Stories
Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope