What is TGGI's Intrinsic value?

Trans Global Group Inc (TGGI) Intrinsic Value Analysis

Executive Summary

As of June 20, 2025, Trans Global Group Inc's estimated intrinsic value ranges from $0.00 to $0.00 per share, depending on the valuation methodology applied.

Valuation Method Fair Value (USD) Implied Upside/Downside
Earnings Power Value $0.00 +277.1%

Is Trans Global Group Inc (TGGI) undervalued or overvalued?

With the current market price at $0.00, the stock appears to be significantly undervalued.

Understanding Intrinsic Value

Intrinsic value represents the "true" worth of a company based on its fundamentals rather than market sentiment. We've employed multiple methodologies to triangulate Trans Global Group Inc's intrinsic value, including:

  1. Earnings Power Value (EPV): Values the company based on its current earnings power, assuming no growth

Weighted Average Cost of Capital (WACC)

The cost of capital is a critical factor in valuation models, representing the required return for investors.

WACC Component Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.33 0.7
Cost of equity 5.4% 8.8%
Cost of debt 5.0% 5.0%
Tax rate 26.2% 27.0%
Debt/Equity ratio 1 1
After-tax WACC 4.5% 6.2%

Valuation Methods

3. Earnings Power Value (EPV)

EPV assesses a company's value based on its current normalized earnings power, assuming no growth.

EPV Component Value
Normalized Earnings $0M
Discount Rate (WACC) 6.2% - 4.5%
Enterprise Value $7M - $10M
Net Debt $(0)M
Equity Value $7M - $10M
Outstanding Shares 22,131M
Fair Value $0 - $0
Selected Fair Value $0.00

Key Financial Metrics

Metric Value
Market Capitalization $2M
Enterprise Value $2M
Trailing P/E 0.00
Forward P/E 0.00
Trailing EV/EBITDA 9.45
Current Dividend Yield 62.96%
Dividend Growth Rate (5Y) 0.00%
Debt-to-Equity Ratio 1.10

Investment Decision Framework

To determine the most reliable intrinsic value estimate, we weigh each valuation method based on:

  1. Forecast Certainty: DCF methods rely on long-term projections, while earnings power value focuses on current normalized earnings
  2. Business Model Alignment: Dividend models are more appropriate for mature companies with established dividend policies
  3. Historical Accuracy: How well each method has predicted fair value historically

Valuation Weight Matrix

Valuation Method Weight Weighted Value
Earnings Power Value 100% $0.00
Weighted Average 100% $0.00

Investment Conclusion

Based on our comprehensive valuation analysis, Trans Global Group Inc's weighted average intrinsic value is $0.00, which is approximately 277.1% above the current market price of $0.00.

Key investment considerations:

  • Strong projected earnings growth (-426% to -1% margin)
  • Consistent cash flow generation

Given these factors, we believe Trans Global Group Inc is currently significantly undervalued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.