As of 2025-07-12, the Fair Value of ADDvantage Technologies Group Inc (AEY) is -29.53 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 0.36 USD, the upside of ADDvantage Technologies Group Inc is -8302.8%.
With the market price of 0.36 USD and our fair value calculation, ADDvantage Technologies Group Inc (AEY) is not a good investment. Investing in AEY stocks now will result in a potential loss of 8302.8%.
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 | ||||||
09-2018 | 09-2019 | 09-2020 | 09-2021 | 12-2022 | 5Y Avg | |
Net income | -7.32 | -5.3 | -17.33 | -6.5 | 0.47 | -7 |
YoY growth | -7220% | 27.6% | -227% | 62.5% | 107.2% | -1449.9% |
Market Cap (mil) | EPS | Fair Value | Upside | ||
a | |||||
ADDvantage Technologies Group Inc | 1 | -5.9 | -29.53 | -8302.8% | |
SYNNEX Corp | 11,899 | 8.6 | 88.74 | -37.4% | |
Arrow Electronics Inc | 6,855 | 7.5 | 187.1 | 41.6% | |
Avnet Inc | 4,697 | 3.8 | 94.44 | 68.6% | |
Insight Enterprises Inc | 4,470 | 6 | 62.63 | -55.3% | |
PC Connection Inc | 1,677 | 3.4 | 17.21 | -73.9% | |
Scansource Inc | 936 | 3 | 74.73 | 80.5% | |
EACO Corp | 267 | 6.1 | 139.49 | 153.6% | |
Wayside Technology Group Inc | 139 | 2.6 | 12.91 | -58.5% | |
Christian Berner Tech Trade AB | 534 | 2.6 | 64.81 | 112.5% | |
S4E SA | 64 | 3.3 | 83.55 | 125.8% |
Market Cap (mil) | 1 |
P/E | - |
Forward P/E | 0.6x |
EPS | -5.91 |
Avg earnings growth rate | -1449.9% |
TTM earnings | -9 |
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.