Shenzhen Kedali Industry Valuation

Q: What is the Fair Price of 2850 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

002850 (CN¥95.32) is trading below our estimate of [[fair value]] (CN¥151.59)

Is 2850 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

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 2850 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 002850 (CN¥95.32) is trading below our estimate of fair value (CN¥151.59)

Significantly Below Fair Value: 002850 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2850?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 2850. This is calculated by dividing 2850's market cap by their current preferred multiple.
What is 2850's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	CN¥25.74b

2850 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	2.4x
Enterprise Value/EBITDA	11.8x
PEG Ratio	1.2x

Price to Earnings Ratio vs Peers

How does 2850's PE Ratio compare to its peers?

The above table shows the PE ratio for 2850 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	23.8x
603179 Jiangsu Xinquan Automotive TrimLtd	26.3x	26.3%	CN¥22.6b
603596 Bethel Automotive Safety Systems	26.8x	25.7%	CN¥24.9b
600933 IKD	19x	20.3%	CN¥18.6b
002472 Zhejiang Shuanghuan DrivelineLtd	22.9x	19.5%	CN¥19.8b
002850 Shenzhen Kedali Industry	20.3x	17.1%	CN¥25.7b

Price-To-Earnings vs Peers: 002850 is good value based on its Price-To-Earnings Ratio (20.3x) compared to the peer average (23.8x).

Price to Earnings Ratio vs Industry

How does 2850's PE Ratio compare vs other companies in the CN Auto Components Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	23.4%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	23.4%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: 002850 is good value based on its Price-To-Earnings Ratio (20.3x) compared to the CN Auto Components industry average (30.1x).

Price to Earnings Ratio vs Fair Ratio

What is 2850'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.

2850 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	20.3x
Fair PE Ratio	19.7x

Price-To-Earnings vs Fair Ratio: 002850 is expensive based on its Price-To-Earnings Ratio (20.3x) compared to the estimated Fair Price-To-Earnings Ratio (19.7x).

Analyst Price Targets

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

The above table shows the analyst 2850 forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	CN¥95.32	CN¥108.05 +13.4%	5.6%	CN¥120.00	CN¥98.10	n/a	8
Apr ’25	CN¥90.22	CN¥102.84 +14.0%	12.4%	CN¥120.00	CN¥82.71	n/a	6
Mar ’25	CN¥73.30	CN¥111.00 +51.4%	13.7%	CN¥129.00	CN¥82.71	n/a	7
Feb ’25	CN¥64.50	CN¥111.00 +72.1%	13.7%	CN¥129.00	CN¥82.71	n/a	7
Jan ’25	CN¥84.46	CN¥120.31 +42.4%	20.6%	CN¥172.00	CN¥90.89	n/a	7
Dec ’24	CN¥87.78	CN¥125.03 +42.4%	21.9%	CN¥172.00	CN¥90.89	n/a	7
Nov ’24	CN¥92.09	CN¥136.10 +47.8%	21.0%	CN¥172.00	CN¥90.89	n/a	8
Oct ’24	CN¥96.18	CN¥154.75 +60.9%	11.1%	CN¥190.00	CN¥129.00	n/a	8
Sep ’24	CN¥115.51	CN¥154.75 +34.0%	11.1%	CN¥190.00	CN¥129.00	n/a	8
Aug ’24	CN¥126.00	CN¥167.02 +32.6%	7.4%	CN¥190.00	CN¥154.50	n/a	5
Jul ’24	CN¥132.25	CN¥167.02 +26.3%	7.4%	CN¥190.00	CN¥154.50	n/a	5
Jun ’24	CN¥127.15	CN¥161.86 +27.3%	10.0%	CN¥190.00	CN¥136.06	n/a	6
May ’24	CN¥137.00	CN¥161.86 +18.1%	10.0%	CN¥190.00	CN¥136.06	CN¥95.32	6
Apr ’24	CN¥129.29	CN¥161.77 +25.1%	10.6%	CN¥190.00	CN¥136.06	CN¥90.22	5
Mar ’24	CN¥122.60	CN¥161.77 +32.0%	10.6%	CN¥190.00	CN¥136.06	CN¥73.30	5
Feb ’24	CN¥149.40	CN¥159.97 +7.1%	8.9%	CN¥181.00	CN¥136.06	CN¥64.50	5
Jan ’24	CN¥118.81	CN¥144.58 +21.7%	12.0%	CN¥163.00	CN¥120.25	CN¥84.46	4
Dec ’23	CN¥102.65	CN¥139.77 +36.2%	12.6%	CN¥163.00	CN¥120.25	CN¥87.78	3
Nov ’23	CN¥97.70	CN¥147.77 +51.3%	13.2%	CN¥163.00	CN¥120.25	CN¥92.09	3
Oct ’23	CN¥96.19	CN¥178.02 +85.1%	9.0%	CN¥199.00	CN¥160.07	CN¥96.18	3
Sep ’23	CN¥112.37	CN¥186.69 +66.1%	14.9%	CN¥225.00	CN¥160.07	CN¥115.51	3
Aug ’23	CN¥152.60	CN¥194.59 +27.5%	16.7%	CN¥227.00	CN¥162.18	CN¥126.00	2
Jul ’23	CN¥155.23	CN¥194.59 +25.4%	16.7%	CN¥227.00	CN¥162.18	CN¥132.25	2

Analyst Forecast: Target price is less than 20% higher than the current share price.