As of 2025-07-08, the Fair Value of Archtis Ltd (AR9.AX) is -0.07 AUD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 0.18 AUD, the upside of Archtis Ltd is -141.3%.
With the market price of 0.18 AUD and our fair value calculation, Archtis Ltd (AR9.AX) is not a good investment. Investing in AR9.AX stocks now will result in a potential loss of 141.3%.
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 | ||||||
06-2020 | 06-2021 | 06-2022 | 06-2023 | 06-2024 | 5Y Avg | |
Net income | -3.73 | -2.99 | -9.45 | -8.24 | -4.26 | -6 |
YoY growth | 0.6% | 19.7% | -215.7% | 12.8% | 48.3% | -26.9% |
Market Cap (mil) | EPS | Fair Value | Upside | ||
a | |||||
Archtis Ltd | 50 | -0 | -0.07 | -141.3% | |
Ansarada Group Ltd | 235 | -0 | -0.06 | -102.5% | |
Proptech Group Ltd | 91 | -0 | -0.09 | -114.4% | |
Fuva Brain Ltd | 4,844 | 19.5 | 488.65 | -43.5% | |
Prophecy International Holdings Ltd | 30 | -0.1 | -0.3 | -173% | |
Corum Group Ltd | 27 | -0 | -0.01 | -119.5% | |
ReadCloud Ltd | 16 | -0 | -0 | -103.7% |
Market Cap (mil) | 50 |
P/E | - |
Forward P/E | - |
EPS | -0.01 |
Avg earnings growth rate | -26.9% |
TTM earnings | -4 |
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.