Guizhou Tyre Co.,Ltd.

XSEC:000589 Stock Report

Market Cap: CN¥8.3b

Guizhou TyreLtd Valuation

Is 589 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: 000589 (CN¥5.36) is trading below our estimate of fair value (CN¥15.21)

Significantly Below Fair Value: 000589 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 589?

Other financial metrics that can be useful for relative valuation.

589 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/Revenue1x
Enterprise Value/EBITDA6.8x
PEG Ratio0.5x

Price to Earnings Ratio vs Peers

How does 589's PE Ratio compare to its peers?

The above table shows the PE ratio for 589 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.6x
601500 Jiangsu General Science Technology
24.6x40.2%CN¥8.8b
601163 Triangle TyreLtd
8.6x8.0%CN¥12.6b
600182 Giti Tire
23.6xn/aCN¥4.8b
000887 Anhui Zhongding Sealing Parts
13.6x18.3%CN¥16.8b
000589 Guizhou TyreLtd
8.8x16.0%CN¥8.3b

Price-To-Earnings vs Peers: 000589 is good value based on its Price-To-Earnings Ratio (8.8x) compared to the peer average (17.6x).


Price to Earnings Ratio vs Industry

How does 589's PE Ratio compare vs other companies in the CN Auto Components Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a22.8%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a22.8%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 000589 is good value based on its Price-To-Earnings Ratio (8.8x) compared to the CN Auto Components industry average (27.5x).


Price to Earnings Ratio vs Fair Ratio

What is 589'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.

589 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.8x
Fair PE Ratio16.8x

Price-To-Earnings vs Fair Ratio: 000589 is good value based on its Price-To-Earnings Ratio (8.8x) compared to the estimated Fair Price-To-Earnings Ratio (16.8x).


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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