Buy Or Sell Opportunity • 8h
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 5.2% to CN¥42.25. The fair value is estimated to be CN¥34.90, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 5.8% over the last 3 years. Earnings per share has declined by 2.9%. Revenue is forecast to grow by 49% in 2 years. Earnings are forecast to grow by 157% in the next 2 years. Declared Dividend • May 25
Dividend of CN¥0.50 announced Shareholders will receive a dividend of CN¥0.50. Ex-date: 29th May 2026 Payment date: 29th May 2026 Dividend yield will be 0.8%, which is lower than the industry average of 1.6%. Sustainability & Growth Dividend is covered by both earnings (61% earnings payout ratio) and cash flows (29% cash payout ratio). The dividend has increased by an average of 3.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 148% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Major Estimate Revision • May 03
Consensus revenue estimates fall by 17% The consensus outlook for revenues in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from CN¥11.8b to CN¥9.80b. EPS estimate fell from CN¥1.84 to CN¥1.59 per share. Net income forecast to grow 112% next year vs 59% growth forecast for Electrical industry in China. Consensus price target broadly unchanged at CN¥70.82. Share price fell 5.8% to CN¥60.89 over the past week. New Risk • Apr 28
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 0.8% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (8.7% average weekly change). Reported Earnings • Apr 27
First quarter 2026 earnings: EPS misses analyst expectations First quarter 2026 results: EPS: CN¥0.15 (in line with 1Q 2025). Revenue: CN¥1.43b (up 18% from 1Q 2025). Net income: CN¥78.0m (up 13% from 1Q 2025). Profit margin: 5.5% (down from 5.7% in 1Q 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 38%. Revenue is forecast to grow 30% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 15% per year, which means it is well ahead of earnings. Announcement • Apr 27
Kehua Data Co., Ltd., Annual General Meeting, May 18, 2026 Kehua Data Co., Ltd., Annual General Meeting, May 18, 2026, at 15:00 China Standard Time. Location: No. 457, Malong Road, Torch Garden, Torch Hi-tech Zone, Xiamen, Fujian China Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥60.86, the stock trades at a forward P/E ratio of 37x. Average forward P/E is 26x in the Electrical industry in China. Total returns to shareholders of 41% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥28.29 per share. Announcement • Mar 31
Kehua Data Co., Ltd. to Report Q1, 2026 Results on Apr 27, 2026 Kehua Data Co., Ltd. announced that they will report Q1, 2026 results on Apr 27, 2026 New Risk • Mar 03
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Announcement • Dec 31
Kehua Data Co., Ltd. to Report Fiscal Year 2025 Results on Apr 27, 2026 Kehua Data Co., Ltd. announced that they will report fiscal year 2025 results on Apr 27, 2026 Board Change • Dec 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 9 experienced directors. 1 highly experienced director. Chairman of the Supervisory Board Jinsong Huang was the last director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Oct 31
Third quarter 2025 earnings: EPS and revenues miss analyst expectations Third quarter 2025 results: EPS: CN¥0.22 (up from CN¥0.027 in 3Q 2024). Revenue: CN¥1.97b (up 19% from 3Q 2024). Net income: CN¥101.0m (up CN¥88.5m from 3Q 2024). Profit margin: 5.1% (up from 0.7% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 28%. Earnings per share (EPS) also missed analyst estimates by 35%. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. New Risk • Oct 25
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Chinese stocks, typically moving 9.3% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Price Target Changed • Oct 11
Price target increased by 13% to CN¥65.41 Up from CN¥57.91, the current price target is an average from 5 analysts. New target price is 5.2% below last closing price of CN¥68.98. Stock is up 208% over the past year. The company is forecast to post earnings per share of CN¥1.36 for next year compared to CN¥0.68 last year. Announcement • Sep 30
Kehua Data Co., Ltd. to Report Q3, 2025 Results on Oct 31, 2025 Kehua Data Co., Ltd. announced that they will report Q3, 2025 results on Oct 31, 2025 Price Target Changed • Sep 02
Price target increased by 13% to CN¥52.76 Up from CN¥46.56, the current price target is an average from 4 analysts. New target price is approximately in line with last closing price of CN¥53.19. Stock is up 168% over the past year. The company is forecast to post earnings per share of CN¥1.32 for next year compared to CN¥0.68 last year. Reported Earnings • Sep 01
Second quarter 2025 earnings: EPS and revenues miss analyst expectations Second quarter 2025 results: EPS: CN¥0.35 (up from CN¥0.33 in 2Q 2024). Revenue: CN¥2.52b (down 1.2% from 2Q 2024). Net income: CN¥174.6m (up 15% from 2Q 2024). Profit margin: 6.9% (up from 6.0% in 2Q 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 1.2%. Earnings per share (EPS) also missed analyst estimates by 7.7%. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Announcement • Jul 02
Kehua Data Co., Ltd. to Report First Half, 2025 Results on Aug 30, 2025 Kehua Data Co., Ltd. announced that they will report first half, 2025 results on Aug 30, 2025 Valuation Update With 7 Day Price Move • Jun 09
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥44.42, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 18x in the Electrical industry in China. Total returns to shareholders of 71% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥26.35 per share. Declared Dividend • May 24
Dividend reduced to CN¥0.10 Dividend of CN¥0.10 is 17% lower than last year. Ex-date: 30th May 2025 Payment date: 30th May 2025 Dividend yield will be 0.3%, which is lower than the industry average of 1.6%. Payout Ratios Payout ratio: 15%. Cash payout ratio: 3%. Price Target Changed • May 03
Price target increased by 20% to CN¥41.81 Up from CN¥34.85, the current price target is an average from 4 analysts. New target price is approximately in line with last closing price of CN¥42.65. Stock is up 61% over the past year. The company is forecast to post earnings per share of CN¥1.40 for next year compared to CN¥0.68 last year. New Risk • Apr 30
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 4.1% Last year net profit margin: 6.2% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (12% average weekly change). Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.1% net profit margin). Reported Earnings • Apr 28
First quarter 2025 earnings: EPS and revenues miss analyst expectations First quarter 2025 results: EPS: CN¥0.15 (down from CN¥0.16 in 1Q 2024). Revenue: CN¥1.22b (up 2.7% from 1Q 2024). Net income: CN¥68.9m (down 6.3% from 1Q 2024). Profit margin: 5.7% (down from 6.2% in 1Q 2024). Revenue missed analyst estimates by 19%. Earnings per share (EPS) also missed analyst estimates by 25%. Revenue is forecast to grow 18% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 25% per year, which means it is well ahead of earnings. Announcement • Apr 26
Kehua Data Co., Ltd., Annual General Meeting, May 20, 2025 Kehua Data Co., Ltd., Annual General Meeting, May 20, 2025, at 15:00 China Standard Time. Location: No. 457, Malong Road, Torch Garden, Torch Hi-tech Zone, Xiamen, Fujian China Valuation Update With 7 Day Price Move • Apr 09
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥36.67, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 17x in the Electrical industry in China. Total returns to shareholders of 68% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥45.01 per share. Buy Or Sell Opportunity • Apr 08
Now 22% undervalued Over the last 90 days, the stock has risen 22% to CN¥35.19. The fair value is estimated to be CN¥45.22, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 42% in 2 years. Earnings are forecast to grow by 163% in the next 2 years. Announcement • Mar 31
Kehua Data Co., Ltd. to Report Q1, 2025 Results on Apr 26, 2025 Kehua Data Co., Ltd. announced that they will report Q1, 2025 results on Apr 26, 2025 Valuation Update With 7 Day Price Move • Mar 25
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥43.88, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 21x in the Electrical industry in China. Total returns to shareholders of 74% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥44.34 per share. Buy Or Sell Opportunity • Mar 11
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 116% to CN¥54.46. The fair value is estimated to be CN¥44.87, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 39% in 2 years. Earnings are forecast to grow by 160% in the next 2 years. Valuation Update With 7 Day Price Move • Mar 03
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥43.61, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 20x in the Electrical industry in China. Total returns to shareholders of 49% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥44.79 per share. Buy Or Sell Opportunity • Feb 13
Now 21% undervalued Over the last 90 days, the stock has risen 40% to CN¥34.68. The fair value is estimated to be CN¥44.02, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 39% in 2 years. Earnings are forecast to grow by 160% in the next 2 years. Valuation Update With 7 Day Price Move • Feb 10
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥33.84, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 20x in the Electrical industry in China. Total returns to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥45.82 per share. Price Target Changed • Feb 06
Price target increased by 8.1% to CN¥28.32 Up from CN¥26.19, the current price target is an average from 4 analysts. New target price is 6.2% below last closing price of CN¥30.19. Stock is up 38% over the past year. The company is forecast to post earnings per share of CN¥0.85 for next year compared to CN¥1.10 last year. New Risk • Jan 23
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 9.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (9.0% average weekly change). Profit margins are more than 30% lower than last year (3.7% net profit margin). Announcement • Dec 31
Kehua Data Co., Ltd. to Report Fiscal Year 2024 Results on Apr 26, 2025 Kehua Data Co., Ltd. announced that they will report fiscal year 2024 results on Apr 26, 2025 Valuation Update With 7 Day Price Move • Dec 23
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥28.03, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 19x in the Electrical industry in China. Total loss to shareholders of 20% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥45.96 per share. Major Estimate Revision • Nov 06
Consensus revenue estimates fall by 25% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥9.78b to CN¥7.37b. EPS estimate fell from CN¥1.26 to CN¥0.85 per share. Net income forecast to grow 148% next year vs 50% growth forecast for Electrical industry in China. Consensus price target broadly unchanged at CN¥26.94. Share price was steady at CN¥27.06 over the past week. Reported Earnings • Oct 31
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: EPS: CN¥0.027 (down from CN¥0.26 in 3Q 2023). Revenue: CN¥1.66b (down 21% from 3Q 2023). Net income: CN¥12.4m (down 90% from 3Q 2023). Profit margin: 0.7% (down from 5.9% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 35%. Earnings per share (EPS) also missed analyst estimates by 88%. Revenue is forecast to grow 28% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has fallen by 15% per year, which means it is performing significantly worse than earnings. Valuation Update With 7 Day Price Move • Oct 24
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥26.52, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 19x in the Electrical industry in China. Total loss to shareholders of 30% over the past three years. Announcement • Sep 30
Kehua Data Co., Ltd. to Report Q3, 2024 Results on Oct 31, 2024 Kehua Data Co., Ltd. announced that they will report Q3, 2024 results on Oct 31, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥21.75, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 16x in the Electrical industry in China. Total loss to shareholders of 34% over the past three years. Price Target Changed • Sep 06
Price target decreased by 11% to CN¥27.44 Down from CN¥30.91, the current price target is an average from 3 analysts. New target price is 44% above last closing price of CN¥19.11. Stock is down 40% over the past year. The company is forecast to post earnings per share of CN¥1.27 for next year compared to CN¥1.10 last year. Major Estimate Revision • Sep 06
Consensus EPS estimates fall by 18% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥10.00b to CN¥9.37b. EPS estimate also fell from CN¥1.56 per share to CN¥1.27 per share. Net income forecast to grow 101% next year vs 45% growth forecast for Electrical industry in China. Consensus price target down from CN¥30.91 to CN¥27.44. Share price was steady at CN¥19.11 over the past week. Reported Earnings • Aug 30
Second quarter 2024 earnings: EPS and revenues exceed analyst expectations Second quarter 2024 results: EPS: CN¥0.33 (down from CN¥0.39 in 2Q 2023). Revenue: CN¥2.55b (up 34% from 2Q 2023). Net income: CN¥152.1m (down 15% from 2Q 2023). Profit margin: 6.0% (down from 9.3% in 2Q 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 21%. Earnings per share (EPS) also surpassed analyst estimates by 22%. Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 19% per year, which means it is performing significantly worse than earnings. Announcement • Jun 29
Kehua Data Co., Ltd. to Report First Half, 2024 Results on Aug 30, 2024 Kehua Data Co., Ltd. announced that they will report first half, 2024 results on Aug 30, 2024 Declared Dividend • May 29
Dividend increased to CN¥0.12 Dividend of CN¥0.12 is 140% higher than last year. Ex-date: 31st May 2024 Payment date: 31st May 2024 Dividend yield will be 0.5%, which is lower than the industry average of 1.6%. Sustainability & Growth Dividend is well covered by both earnings (13% earnings payout ratio) and cash flows (8% cash payout ratio). The dividend has increased by an average of 3.1% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 119% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Apr 28
Kehua Data Co., Ltd., Annual General Meeting, May 17, 2024 Kehua Data Co., Ltd., Annual General Meeting, May 17, 2024, at 15:00 China Standard Time. Location: No. 457, Malong Road, Torch Garden, Torch Hi-tech Zone, Xiamen, Fujian China Agenda: To consider 2023 work report of the board of directors;to consider 2023 work report of the supervisory committee;to consider 2023 annual accounts report;to consider 2023 profit distribution plan;to consider 2023 annual report and its summary;to consider 2024 application for credit line to financial institutions;to consider 2024 guarantee for controlled subsidiaries (sub-subsidiaries) and mutual guarantee among controlled subsidiaries;to consider Purchase of short-term wealth management products with idle proprietary funds by the Company and controlled subsidiaries; and to consider other business matters. Announcement • Apr 27
Kehua Data Co., Ltd. Proposes Final Cash Dividend for the Year 2023 Kehua Data Co., Ltd. announced on 26 April 2024 the profit distribution proposal for 2023 as follows: final cash dividend per 10 shares (tax included) of CNY 1.20000000. Reported Earnings • Apr 26
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: CN¥0.16 (down from CN¥0.31 in 1Q 2023). Revenue: CN¥1.18b (down 21% from 1Q 2023). Net income: CN¥73.5m (down 49% from 1Q 2023). Profit margin: 6.2% (down from 9.6% in 1Q 2023). Revenue missed analyst estimates by 28%. Earnings per share (EPS) also missed analyst estimates by 33%. Revenue is forecast to grow 29% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Announcement • Mar 30
Kehua Data Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Kehua Data Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Mar 04
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥28.76, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 15x in the Electrical industry in China. Total returns to shareholders of 60% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥27.20 per share. Major Estimate Revision • Feb 05
Consensus EPS estimates fall by 12% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥8.03b to CN¥7.72b. EPS estimate also fell from CN¥1.45 per share to CN¥1.27 per share. Net income forecast to grow 94% next year vs 50% growth forecast for Electrical industry in China. Consensus price target down from CN¥36.80 to CN¥34.03. Share price fell 16% to CN¥18.44 over the past week. Buy Or Sell Opportunity • Feb 05
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 37% to CN¥18.44. The fair value is estimated to be CN¥23.85, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has declined by 3.8%. Revenue is forecast to grow by 68% in 2 years. Earnings are forecast to grow by 160% in the next 2 years. Major Estimate Revision • Feb 02
Consensus EPS estimates fall by 12% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥8.03b to CN¥7.72b. EPS estimate also fell from CN¥1.45 per share to CN¥1.27 per share. Net income forecast to grow 94% next year vs 52% growth forecast for Electrical industry in China. Consensus price target down from CN¥36.80 to CN¥34.03. Share price fell 16% to CN¥19.70 over the past week. Price Target Changed • Feb 01
Price target decreased by 7.5% to CN¥34.03 Down from CN¥36.80, the current price target is an average from 4 analysts. New target price is 64% above last closing price of CN¥20.69. Stock is down 57% over the past year. The company is forecast to post earnings per share of CN¥1.27 for next year compared to CN¥0.54 last year. Announcement • Dec 30
Kehua Data Co., Ltd. to Report Fiscal Year 2023 Results on Apr 26, 2024 Kehua Data Co., Ltd. announced that they will report fiscal year 2023 results on Apr 26, 2024 Price Target Changed • Nov 08
Price target decreased by 7.3% to CN¥43.79 Down from CN¥47.24, the current price target is an average from 6 analysts. New target price is 47% above last closing price of CN¥29.77. Stock is down 37% over the past year. The company is forecast to post earnings per share of CN¥1.50 for next year compared to CN¥0.54 last year. New Risk • Oct 29
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 5.4% Last year net profit margin: 8.7% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (5.4% net profit margin). Reported Earnings • Oct 26
Third quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2023 results: EPS: CN¥0.26 (up from CN¥0.09 in 3Q 2022). Revenue: CN¥2.11b (up 23% from 3Q 2022). Net income: CN¥123.4m (up 200% from 3Q 2022). Profit margin: 5.9% (up from 2.4% in 3Q 2022). Revenue exceeded analyst estimates by 20%. Earnings per share (EPS) missed analyst estimates by 37%. Revenue is forecast to grow 29% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Buying Opportunity • Sep 06
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 11%. The fair value is estimated to be CN¥40.74, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 16% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 89% in 2 years. Earnings is forecast to grow by 169% in the next 2 years. Price Target Changed • Sep 02
Price target decreased by 7.3% to CN¥49.57 Down from CN¥53.45, the current price target is an average from 5 analysts. New target price is 55% above last closing price of CN¥31.97. Stock is down 12% over the past year. The company is forecast to post earnings per share of CN¥1.61 for next year compared to CN¥0.54 last year. Reported Earnings • Aug 31
Second quarter 2023 earnings: EPS and revenues exceed analyst expectations Second quarter 2023 results: EPS: CN¥0.39 (up from CN¥0.15 in 2Q 2022). Revenue: CN¥1.91b (up 56% from 2Q 2022). Net income: CN¥178.2m (up 162% from 2Q 2022). Profit margin: 9.3% (up from 5.6% in 2Q 2022). Revenue exceeded analyst estimates by 30%. Earnings per share (EPS) also surpassed analyst estimates by 30%. Revenue is forecast to grow 30% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 17% per year, which means it is well ahead of earnings. Announcement • May 26
Kehua Data Co., Ltd. Approves Final Cash Dividend for the Year 2022, Payable on 31 May 2023 Kehua Data Co., Ltd. approved final Cash dividend/10 shares (tax included) of CNY 0.50000000 for 2022 at the Annual General Meeting held on May 22, 2023. Record date is 30 May 2023, Ex-date is 31 May 2023Payment date is 31 May 2023. Price Target Changed • May 22
Price target decreased by 7.1% to CN¥56.88 Down from CN¥61.23, the current price target is an average from 4 analysts. New target price is 43% above last closing price of CN¥39.66. Stock is up 68% over the past year. The company is forecast to post earnings per share of CN¥1.49 for next year compared to CN¥0.54 last year. Major Estimate Revision • May 15
Consensus revenue estimates increase by 14% The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast increased from CN¥7.37b to CN¥8.41b. EPS estimate unchanged from CN¥1.49 at last update. Electrical industry in China expected to see average net income growth of 60% next year. Consensus price target down from CN¥64.76 to CN¥62.93. Share price was steady at CN¥40.82 over the past week. Reported Earnings • Apr 29
Full year 2022 earnings released: EPS: CN¥0.54 (vs CN¥0.95 in FY 2021) Full year 2022 results: EPS: CN¥0.54 (down from CN¥0.95 in FY 2021). Revenue: CN¥5.65b (up 16% from FY 2021). Net income: CN¥248.4m (down 43% from FY 2021). Profit margin: 4.4% (down from 9.0% in FY 2021). Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 24% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has increased by 48% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥47.62, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 21x in the Electrical industry in China. Total returns to shareholders of 250% over the past three years. Valuation Update With 7 Day Price Move • Dec 29
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥49.89, the stock trades at a forward P/E ratio of 36x. Average forward P/E is 20x in the Electrical industry in China. Total returns to shareholders of 436% over the past three years. Announcement • Nov 19
Kehua Data Co., Ltd. Announces Executive Elections Kehua Data Co., Ltd. elected Huang Jinsong and Zhuang Weicong as supervisors, at its EGM held on 17 November 2022. Price Target Changed • Nov 16
Price target increased to CN¥52.73 Up from CN¥48.27, the current price target is an average from 2 analysts. New target price is 12% above last closing price of CN¥47.15. Stock is up 6.8% over the past year. The company is forecast to post earnings per share of CN¥1.09 for next year compared to CN¥0.95 last year. Valuation Update With 7 Day Price Move • Nov 06
Investor sentiment improved over the past week After last week's 18% share price gain to CN¥47.44, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 21x in the Electrical industry in China. Total returns to shareholders of 411% over the past three years. Price Target Changed • Nov 04
Price target increased to CN¥52.73 Up from CN¥48.27, the current price target is an average from 2 analysts. New target price is 16% above last closing price of CN¥45.64. Stock is up 4.8% over the past year. The company is forecast to post earnings per share of CN¥1.08 for next year compared to CN¥0.95 last year. Reported Earnings • Oct 31
Third quarter 2022 earnings released: EPS: CN¥0.26 (vs CN¥0.22 in 3Q 2021) Third quarter 2022 results: EPS: CN¥0.26 (up from CN¥0.22 in 3Q 2021). Revenue: CN¥1.43b (up 17% from 3Q 2021). Net income: CN¥122.3m (up 24% from 3Q 2021). Profit margin: 8.6% (up from 8.1% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 26% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has increased by 63% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Sep 22
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥40.11, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 20x in the Electrical industry in China. Total returns to shareholders of 297% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥31.42 per share. Valuation Update With 7 Day Price Move • Sep 07
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥40.32, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 22x in the Electrical industry in China. Total returns to shareholders of 275% over the past three years. Price Target Changed • Aug 30
Price target increased to CN¥44.57 Up from CN¥39.62, the current price target is an average from 5 analysts. New target price is 15% above last closing price of CN¥38.63. Stock is up 3.3% over the past year. The company is forecast to post earnings per share of CN¥1.08 for next year compared to CN¥0.95 last year. Reported Earnings • Aug 29
Second quarter 2022 earnings released: EPS: CN¥0.15 (vs CN¥0.19 in 2Q 2021) Second quarter 2022 results: EPS: CN¥0.15 (down from CN¥0.19 in 2Q 2021). Revenue: CN¥1.22b (down 2.4% from 2Q 2021). Net income: CN¥68.0m (down 25% from 2Q 2021). Profit margin: 5.6% (down from 7.2% in 2Q 2021). Over the next year, revenue is forecast to grow 37%, compared to a 55% growth forecast for the Electrical industry in China. Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has increased by 52% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Aug 19
Investor sentiment improved over the past week After last week's 16% share price gain to CN¥43.65, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 27x in the Electrical industry in China. Total returns to shareholders of 332% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥23.02 per share. Valuation Update With 7 Day Price Move • Jul 09
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥35.58, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 27x in the Electrical industry in China. Total returns to shareholders of 277% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥23.35 per share. Major Estimate Revision • Jun 28
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 EPS estimate fell from CN¥1.31 to CN¥1.18. Revenue forecast unchanged from CN¥5.96b at last update. Net income forecast to grow 17% next year vs 52% growth forecast for Electrical industry in China. Consensus price target of CN¥37.72 unchanged from last update. Share price rose 13% to CN¥30.78 over the past week. Valuation Update With 7 Day Price Move • Jun 24
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥31.00, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 25x in the Electrical industry in China. Total returns to shareholders of 214% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥21.51 per share. 