Rhong Khen International Bhd (XKLS:7006) Intrinsic Value: DCF (FCF Based): RM-1.81 (As of Sep. 15, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XKLS:7006 Rhong Khen International Bhd XKLS:7006
62 GF Score
Price RM1.04
GF Value RM1.22
Valuation Modestly Undervalued
! 4 Warning Signs
View Full Analysis

What is Rhong Khen International Bhd Intrinsic Value: DCF (FCF Based)?

Rhong Khen International Bhd XKLS:7006 -0.95% 62 Intrinsic Value: DCF (FCF Based) is RM-1.81 as of Sep. 15, 2026. GuruFocus rates XKLS:7006 with a GF Score™ of 62/100 and a GF Value™ of RM1.22 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 42 Furnishings, Fixtures & Appliances companies, Rhong Khen International Bhd ranks worse than 2380950% on this metric.

As of today (2026-09-15), Rhong Khen International Bhd's intrinsic value calculated from the Discounted Cash Flow model is RM-1.81.

Note: Discounted Cash Flow model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's predictability rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

Rhong Khen International Bhd's Predictability Rank is 1-Star. Thus, this page is only used for demonstration purposes and the DCF related results in the screener and portfolio will appear as zero.

Margin of Safety (FCF Based) using Discounted Cash Flow model for Rhong Khen International Bhd is N/A.

The industry rank for Rhong Khen International Bhd's Intrinsic Value: DCF (FCF Based) or its related term are showing as below:

XKLS:7006's Price-to-DCF (FCF Based) is not ranked *
in the Furnishings, Fixtures & Appliances industry.
Industry Median: 0.905
* Ranked among companies with meaningful Price-to-DCF (FCF Based) only.

Rhong Khen International Bhd  (XKLS:7006) Intrinsic Value: DCF (FCF Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book per Share, Graham Number, Median PS Value etc, discounted Cash Flow model evaluates the companies based on their future earnings power instead of their assets.


Be Aware

What you need to know about the DCF model:

1. The DCF model evaluates a company based on its future earnings power
2. Growth is taken into account; therefore a faster growth company is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies that have relatively consistent performance.
4. The DCF model works poorly for inconsistent performers such as cyclicals.
5. What discount rate should you use? Your expected return from the investment is a good discount rate assumption.
6. A larger margin of safety should be required for companies with less predictable businesses.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


Rhong Khen International Bhd Intrinsic Value: DCF (FCF Based) Related Terms


Rhong Khen International Bhd Intrinsic Value: DCF (FCF Based) Historical Data

* Premium members only.

The historical data trend for Rhong Khen International Bhd's Intrinsic Value: DCF (FCF Based) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rhong Khen International Bhd Intrinsic Value: DCF (FCF Based) Chart

Rhong Khen International Bhd Annual Data
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Intrinsic Value: DCF (FCF Based)
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Rhong Khen International Bhd Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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XKLS:7006 vs SN, SGI, MHK: Intrinsic Value: DCF (FCF Based) Comparison

For the Furnishings, Fixtures & Appliances subindustry, Rhong Khen International Bhd's Price-to-DCF (FCF Based), along with its competitors' market caps and Price-to-DCF (FCF Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Rhong Khen International Bhd Price-to-DCF (FCF Based) vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Rhong Khen International Bhd's Price-to-DCF (FCF Based) distribution charts can be found below:

* The bar in red indicates where Rhong Khen International Bhd's Price-to-DCF (FCF Based) falls into.


XKLS:7006
62GF Score
Rhong Khen International Bhd XKLS:7006
Intrinsic Value: DCF (FCF Based) is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rhong Khen International Bhd Intrinsic Value: DCF (FCF Based) Calculation

This is the intrinsic value calculated from the Discounted Cash Flow model with default parameters. In a discounted cash flow model, the future cash flow is estimated based on a cash flow growth rate and a discount rate. The cash flow of the future is discounted to its current value at the discount rate. All of the discounted future cash flow is added together to get the current intrinsic value of the company.

Usually a two-stage model is used when calculating a stock's intrinsic value using a discounted cash flow model. The first stage is called the growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DCF calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 12%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 5.03%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Growth Rate in the growth stage: g1 = 5%
The Growth Rate in the growth stage is initially set as the default 10-Year FCF Growth Rate (Per Share). In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year FCF Growth Rate (Per Share). If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year FCF Growth Rate (Per Share).
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
=> Rhong Khen International Bhd's average Free Cash Flow Growth Rate in the past 3 years was 0.00%, which is less than 5%. GuruFocus defaults => Growth Rate: 5%

3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Years of Terminal Growth: y2 = 10

6. Free Cash Flow per Share: fcf = RM-0.169.
However, GuruFocus DCF calculator is actually a Discounted Earnings calculator, the EPS without NRI is used as the default. The reason we are doing this is we found that historically stock prices are more correlated with earnings than free cash flow.

All of the default settings can be changed and the results are calculated automatically.

Rhong Khen International Bhd's Intrinsic Value: DCF (FCF Based) for today is calculated as

Intrinsic Value: DCF (FCF Based)=Free Cash Flow per Share*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+0.05)/(1+0.12) = 0.9375
and y = (1+g2)/(1+d) = (1+0.04)/(1+0.12) = 0.92857142857143

Intrinsic Value: DCF (FCF Based)=Free Cash Flow per Share*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=Free Cash Flow per Share*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=-0.169*10.7016
=-1.81

Margin of Safety (FCF Based)=(Intrinsic Value: DCF (FCF Based)-Current Price)/Intrinsic Value: DCF (FCF Based)
=(-1.81-1.04)/-1.81
=N/A

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Intrinsic Value: DCF (FCF Based) of RM-1.81 mean?
Rhong Khen International Bhd (XKLS:7006) has a Intrinsic Value: DCF (FCF Based) of RM-1.81 as of Sep. 15, 2026. Intrinsic Value: DCF (FCF Based) is the stock value based on a two-stage discounted free cash flow model. View historical data on Rhong Khen International Bhd and its competitors. According to the industry distribution chart, Rhong Khen International Bhd ranks #999999 out of 42 companies in the Furnishings, Fixtures & Appliances industry.
Is Rhong Khen International Bhd's Intrinsic Value: DCF (FCF Based) too high?
Rhong Khen International Bhd's current Intrinsic Value: DCF (FCF Based) is RM-1.81. Based on the distribution chart, Rhong Khen International Bhd ranks #999999 out of 42 companies in the Furnishings, Fixtures & Appliances industry, which is in the bottom quartile relative to peers. Overall, Rhong Khen International Bhd has a GF Score™ of 62/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Rhong Khen International Bhd's Intrinsic Value: DCF (FCF Based) compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Rhong Khen International Bhd ranks #999999 out of 42 companies for Intrinsic Value: DCF (FCF Based). This places Rhong Khen International Bhd in the lower half of its industry. The industry median Intrinsic Value: DCF (FCF Based) is 0.91. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Intrinsic Value: DCF (FCF Based) for a Furnishings, Fixtures & Appliances company?
The median Intrinsic Value: DCF (FCF Based) among Furnishings, Fixtures & Appliances companies is 0.91, based on 42 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: DCF (FCF Based) significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: DCF (FCF Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Intrinsic Value: DCF (FCF Based) mean?
A high Intrinsic Value: DCF (FCF Based) can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: DCF (FCF Based) is the stock value based on a two-stage discounted free cash flow model. View historical data on Rhong Khen International Bhd and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Intrinsic Value: DCF (FCF Based) is 0.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rhong Khen International Bhd's current Intrinsic Value: DCF (FCF Based) is RM-1.81. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rhong Khen International Bhd stock overvalued right now?
Based on GuruFocus' analysis, Rhong Khen International Bhd (XKLS:7006) is currently considered Modestly Undervalued. The stock's GF Value™ is RM1.22, compared to a current price of RM1.04 — trading 14.8% below its estimated fair value. The current Intrinsic Value: DCF (FCF Based) is RM-1.81. Rhong Khen International Bhd's overall GF Score™ is 62/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: DCF (FCF Based) calculated?
Intrinsic Value: DCF (FCF Based) is calculated from a company's financial statements. For Rhong Khen International Bhd (XKLS:7006), the current Intrinsic Value: DCF (FCF Based) is RM-1.81 as of Sep. 15, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Rhong Khen International Bhd (XKLS:7006) Overvalued in 2026?

Based on GuruFocus' analysis, Rhong Khen International Bhd stock appears to be undervalued. The current stock price of RM1.04 is trading 14.8% below its estimated GF Value™ of RM1.22. GuruFocus considers Rhong Khen International Bhd to be Modestly Undervalued.

Key valuation signals for XKLS:7006:

  • Intrinsic Value: DCF (FCF Based): RM-1.81
  • GF Value™: RM1.22 vs. price of RM1.04 (14.8% below fair value)
  • GF Score™: 62/100 with 4 warning signs

No single metric tells the full story. See the XKLS:7006 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rhong Khen International Bhd Business Description

Address Batu 7 3/4 Jalan Kapar, Lot 3356, Kapar, SGR, MYS, 42200
Rhong Khen International Bhd is a Malaysian investment holding company specializing in the manufacturing and distribution of wooden furniture and components, mainly rubber-wood products, for domestic and export markets. Its key products include dining and bedroom furniture, decorative panels, and polyester boards. About half of its raw materials are rubber wood, with the remainder sourced from poplar, pine, and other woods. The company operates through three segments: manufacturing, rental of investment properties, and investment holding, with the majority of its revenue generated from manufacturing. It serves markets in the United States, Southeast Asia, Australia, Canada, and other regions, with the United States contributing the highest portion of its revenue.
62GF Score

Get the complete analysis for XKLS:7006

Intrinsic Value: DCF (FCF Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM1.04
Price
RM1.22
GF Value