As of 2025-05-08, the Fair Value of INEST Inc (3390.T) is -2.05 JPY. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 58 JPY, the upside of INEST Inc is -103.5%.
With the market price of 58 JPY and our fair value calculation, INEST Inc (3390.T) is not a good investment. Investing in 3390.T stocks now will result in a potential loss of 103.5%.
Note: valuation result may not be accurate due to the company's negative EPS.
Peter Lynch's formula is:
The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.
Historical Earnings | ||||||
03-2018 | 03-2019 | 03-2020 | 03-2021 | 03-2022 | 5Y Avg | |
Net income | -309 | -434 | -697 | 203 | -58 | -259 |
YoY growth | -322.3% | -40.5% | -60.6% | 129.1% | -128.6% | -84.6% |
Market Cap (mil) | 4,093 |
P/E | - |
Forward P/E | 119.4x |
EPS | -0.41 |
Avg earnings growth rate | -84.6% |
TTM earnings | -29 |
Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.
Therefore, his formula to determine a company's fair value is:
Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG
PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.