Addentax Group Corp.

ATXG ·Industrials, Specialty Business Services, China
Valuation › AI Valuation

AI Valuation

AI-generated fair value estimate for this company.

AI Fair Value $3.80
Market Price $3.37
Undervalued By 11.3%

Method: Discounted net-asset-value approach: reported cash of $12.87M and total debt of $5.37M imply net cash of approximately $7.5M, to which a 60% realization value (40% haircut) was applied given governance and dilution risk typical of small China-domiciled reverse-merger issuers, for approximately $4.5M against near-zero value assigned to the operating business given negative free cash flow; 1.18M shares outstanding.

Reasoning: Addentax's operating business has negative free cash flow and thin, volatile revenue, making a full DCF unreliable, so a haircut-adjusted net-cash NAV grounded in the latest reported balance sheet is used instead, landing close to the current trading price.