RELATIVE VALUATION OF SYNNEX (THAILAND) PUBLIC COMPANY LIMITED.

Abstract

ABSTRACT This thematic paper demonstrated how to value the stock price of Synnex (Thailand) Public Company Limited (SYNNEX) which applied the concept of the multiple valuation models. It provided business description, business structure business strategies of Synnex. Valuation reflected the company’s ability whether they can be survive and grow without equity or long term debt. I applied multiples valuation method to express the valuation of the company’s stock price. I calculated 4 ratios which composed of P/E, P/BV, P/S and EV/EBITDA. We consider using P/S as it is the most appropriated market benchmark for valuation. P/S is valuation ratio that compares a company’s stock price to its revenue. As a result the Synnex’s target price from forward P/S is 5.11 THB, comparing to the current price of 4.50 THB. So the recommendation is to buy the stock in the market since it is undervalue