Rakuten Valuation
| RKUNY Stock | USD 6.12 0.06 0.99% |
At this time, the company appears to be fairly valued. Rakuten Inc ADR holds a recent Real Value of $6.17 per share. The prevailing price of the company is $6.12. Our model determines the value of Rakuten Inc ADR from analyzing the company fundamentals such as Return On Equity of -0.28, operating margin of (0.25) %, and Shares Outstanding of 1.59 B as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Rakuten's price fluctuation is slightly risky at this time. Calculation of the real value of Rakuten Inc ADR is based on 3 months time horizon. Increasing Rakuten's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Rakuten is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Rakuten Pink Sheet. However, Rakuten'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 6.12 | Real 6.17 | Hype 6.12 | Naive 6.27 |
The intrinsic value of Rakuten'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, news, and other external factors that may influence Rakuten's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Rakuten Inc ADR helps investors to forecast how Rakuten pink sheet's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Rakuten more accurately as focusing exclusively on Rakuten's fundamentals will not take into account other important factors: Rakuten Total Value Analysis
Rakuten Inc ADR is at this time estimated to have takeover price of 9.73 B with market capitalization of 7.78 B, debt of 3.4 T, and cash on hands of 5.58 T. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Rakuten fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
9.73 B | 7.78 B | 3.4 T | 5.58 T |
Rakuten Investor Information
The company has price-to-book ratio of 1.03. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Rakuten Inc ADR recorded a loss per share of 0.94. The entity last dividend was issued on the 29th of December 2021. Based on the analysis of Rakuten's profitability, liquidity, and operating efficiency, Rakuten Inc ADR is not in a good financial situation at this time. It has a very high probability of going through financial hardship in April.Rakuten Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Rakuten has an asset utilization ratio of 9.99 percent. This suggests that the Company is making $0.0999 for each dollar of assets. An increasing asset utilization means that Rakuten Inc ADR is more efficient with each dollar of assets it utilizes for everyday operations.Rakuten Ownership Allocation
Rakuten owns a total of 1.59 Billion outstanding shares. Roughly 99.99 pct. of Rakuten outstanding shares are held by general public with 0.007 (%) by third-party entities. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Rakuten Profitability Analysis
The company reported the revenue of 1.68 T. Net Loss for the year was (133.83 B) with loss before overhead, payroll, taxes, and interest of (284.66 B).About Rakuten Valuation
Our relative valuation model uses a comparative analysis of Rakuten. We calculate exposure to Rakuten's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Rakuten's related companies.Rakuten Group, Inc. offers internet services in Japan and internationally. Rakuten Group, Inc. was incorporated in 1997 and is headquartered in Tokyo, Japan. Rakuten operates under Internet Retail classification in the United States and is traded on OTC Exchange. It employs 28261 people.
8 Steps to conduct Rakuten's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Rakuten's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Rakuten's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Rakuten's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Rakuten's revenue streams: Identify Rakuten's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Rakuten's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Rakuten's growth potential: Evaluate Rakuten's management, business model, and growth potential.
- Determine Rakuten's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Rakuten's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Rakuten Growth Indicators
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.
| Common Stock Shares Outstanding | 1.4 B | |
| Forward Price Earnings | 555.5556 | |
| Retained Earnings | 142.7 B |
Additional Tools for Rakuten Pink Sheet Analysis
When running Rakuten's price analysis, check to measure Rakuten'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 Rakuten is operating at the current time. Most of Rakuten's value examination focuses on studying past and present price action to predict the probability of Rakuten's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Rakuten's price. Additionally, you may evaluate how the addition of Rakuten to your portfolios can decrease your overall portfolio volatility.