Wanxiang QianchaoLtd Valuation

Q: What is the Fair Price of 000559 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

000559 (CN¥6.38) is trading below our estimate of [[fair value]] (CN¥7.51)

Is 000559 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 000559 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 000559 (CN¥6.38) is trading below our estimate of fair value (CN¥7.51)

Significantly Below Fair Value: 000559 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 000559?

Key metric: As 000559 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 000559. This is calculated by dividing 000559's market cap by their current earnings.
What is 000559's PE Ratio?
PE Ratio	22.6x
Earnings	CN¥931.94m
Market Cap	CN¥22.27b

000559 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.5x
Enterprise Value/EBITDA	14x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 000559's PE Ratio compare to its peers?

The above table shows the PE ratio for 000559 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	30.5x
600699 Ningbo Joyson Electronic	17.9x	18.0%	CN¥22.3b
001696 Chongqing Zongshen Power MachineryLtd	81.2x	33.7%	CN¥30.8b
688819 Tianneng Battery Group	13.5x	18.9%	CN¥27.7b
000581 Weifu High-Technology Group	9.6x	n/a	CN¥16.2b
000559 Wanxiang QianchaoLtd	22.6x	n/a	CN¥21.1b

Price-To-Earnings vs Peers: 000559 is good value based on its Price-To-Earnings Ratio (22.6x) compared to the peer average (30.5x).

Price to Earnings Ratio vs Industry

How does 000559's PE Ratio compare vs other companies in the CN Auto Components Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
002684 Dynavolt Renewable Energy Technology (Henan)	0.6x	n/a	US$58.50m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 000559 is good value based on its Price-To-Earnings Ratio (22.6x) compared to the CN Auto Components industry average (31.3x).

Price to Earnings Ratio vs Fair Ratio

What is 000559's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

000559 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	22.6x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 000559's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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