Wuxi Zhenhua Auto PartsLtd Valuation

Is 605319 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

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 605319 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 605319 (CN¥21.7) is trading above our estimate of fair value (CN¥4.74)

Significantly Below Fair Value: 605319 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 605319?

Key metric: As 605319 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 605319. This is calculated by dividing 605319's market cap by their current earnings.
What is 605319's PE Ratio?
PE Ratio	14.8x
Earnings	CN¥361.03m
Market Cap	CN¥5.35b

605319 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	9.6x
PEG Ratio	0.9x

Price to Earnings Ratio vs Peers

How does 605319's PE Ratio compare to its peers?

The above table shows the PE ratio for 605319 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	38.1x
300863 Ningbo KBE Electrical TechnologyLtd	30.9x	26.6%	CN¥5.3b
301607 Zhejiang EV-TechLtd	51.7x	n/a	CN¥4.3b
300978 WINBO-Dongjian Automotive Technology	32.5x	n/a	CN¥4.9b
300507 Jiangsu Olive Sensors High-Tech	37.3x	n/a	CN¥5.3b
605319 Wuxi Zhenhua Auto PartsLtd	14.8x	16.1%	CN¥5.3b

Price-To-Earnings vs Peers: 605319 is good value based on its Price-To-Earnings Ratio (14.8x) compared to the peer average (38.1x).

Price to Earnings Ratio vs Industry

How does 605319'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: 605319 is good value based on its Price-To-Earnings Ratio (14.8x) compared to the CN Auto Components industry average (30.8x).

Price to Earnings Ratio vs Fair Ratio

What is 605319'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.

605319 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	14.8x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 605319'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?

The above table shows the analyst 605319 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¥21.70	CN¥23.78 +9.6%	12.9%	CN¥28.00	CN¥20.84	n/a	3
Nov ’25	CN¥17.77	CN¥23.78 +33.8%	12.9%	CN¥28.00	CN¥20.84	n/a	3
Oct ’25	CN¥19.31	CN¥23.78 +23.1%	12.9%	CN¥28.00	CN¥20.84	n/a	3
Sep ’25	CN¥15.94	CN¥23.78 +49.2%	12.9%	CN¥28.00	CN¥20.84	n/a	3
Aug ’25	CN¥16.85	CN¥27.22 +61.5%	8.8%	CN¥29.70	CN¥23.96	n/a	3
Jul ’25	CN¥17.85	CN¥27.89 +56.2%	10.0%	CN¥30.00	CN¥23.96	n/a	3
Jun ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2
May ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2
Apr ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2
Mar ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2
Feb ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2
Jan ’25	n/a	CN¥29.85 0%	0.5%	CN¥30.00	CN¥29.70	n/a	2

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

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