Sichuan Road & Bridge Group Co.,Ltd

SHSE:600039 Stock Report

Market Cap: CN¥65.8b

Sichuan Road & Bridge GroupLtd Valuation

Is 600039 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 600039 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 600039 (CN¥7.55) is trading below our estimate of fair value (CN¥8.83)

Significantly Below Fair Value: 600039 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 600039?

Key metric: As 600039 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 600039. This is calculated by dividing 600039's market cap by their current earnings.
What is 600039's PE Ratio?
PE Ratio10.9x
EarningsCN¥6.02b
Market CapCN¥65.78b

Price to Earnings Ratio vs Peers

How does 600039's PE Ratio compare to its peers?

The above table shows the PE ratio for 600039 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average7.1x
601669 Power Construction Corporation of China
7.6x14.0%CN¥93.4b
601117 China National Chemical Engineering
8.9x10.2%CN¥49.4b
601186 China Railway Construction
6.3x8.4%CN¥117.3b
601390 China Railway Group
5.6x12.4%CN¥145.9b
600039 Sichuan Road & Bridge GroupLtd
10.9x16.0%CN¥65.8b

Price-To-Earnings vs Peers: 600039 is expensive based on its Price-To-Earnings Ratio (10.9x) compared to the peer average (7.1x).

Price to Earnings Ratio vs Industry

How does 600039's PE Ratio compare vs other companies in the CN Construction Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
601668 China State Construction Engineering
4.9x6.5%US$33.71b
600248 Shaanxi Construction Engineering Group
4.3x12.6%US$2.29b
000498 Shandong Hi-Speed Road&Bridge Group
4x8.0%US$1.29b
002482 Shenzhen Grandland Group
3.3xn/aUS$1.27b
600039 10.9xIndustry Avg. 23.2xNo. of Companies15PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 600039 is good value based on its Price-To-Earnings Ratio (10.9x) compared to the CN Construction industry average (23.2x).

Price to Earnings Ratio vs Fair Ratio

What is 600039'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.

600039 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.9x
Fair PE Ratio24.8x

Price-To-Earnings vs Fair Ratio: 600039 is good value based on its Price-To-Earnings Ratio (10.9x) compared to the estimated Fair Price-To-Earnings Ratio (24.8x).

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 600039 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥7.55
CN¥9.70
+28.5%
20.2%CN¥11.60CN¥7.00n/a3
Dec ’25CN¥7.45
CN¥9.70
+30.2%
20.2%CN¥11.60CN¥7.00n/a3
Nov ’25CN¥7.38
CN¥8.22
+11.3%
29.5%CN¥11.60CN¥6.05n/a3
Oct ’25CN¥7.03
CN¥8.22
+16.9%
29.5%CN¥11.60CN¥6.05n/a3
Sep ’25CN¥5.65
CN¥8.83
+56.2%
31.4%CN¥11.60CN¥6.05n/a2
Aug ’25CN¥6.26
CN¥10.01
+59.8%
15.9%CN¥11.60CN¥8.41n/a2
Jul ’25CN¥8.06
CN¥9.93
+23.2%
13.2%CN¥11.60CN¥8.41n/a3
Jun ’25CN¥7.86
CN¥10.01
+27.3%
15.9%CN¥11.60CN¥8.41n/a2
Oct ’24CN¥8.67
CN¥11.89
+37.1%
8.7%CN¥12.93CN¥10.85CN¥7.032
Sep ’24CN¥8.88
CN¥11.89
+33.9%
8.7%CN¥12.93CN¥10.85CN¥5.652
Aug ’24CN¥9.72
CN¥12.66
+30.2%
2.1%CN¥12.92CN¥12.40CN¥6.262
Jul ’24CN¥9.81
CN¥14.53
+48.1%
10.7%CN¥16.09CN¥12.97CN¥8.062
Jun ’24CN¥10.31
CN¥14.53
+40.9%
10.7%CN¥16.09CN¥12.97CN¥7.862
May ’24CN¥11.32
CN¥14.53
+28.3%
10.7%CN¥16.09CN¥12.97CN¥7.252
Apr ’24CN¥9.86
CN¥12.92
+31.1%
0.4%CN¥12.97CN¥12.87CN¥7.772
Mar ’24CN¥9.42
CN¥11.09
+17.7%
6.0%CN¥12.04CN¥10.58CN¥8.073
Feb ’24CN¥8.70
CN¥11.09
+27.4%
6.0%CN¥12.04CN¥10.58CN¥7.973
Jan ’24CN¥7.94
CN¥10.51
+32.4%
0.6%CN¥10.58CN¥10.45CN¥7.492
Dec ’23CN¥8.16
CN¥10.51
+28.9%
0.6%CN¥10.58CN¥10.45CN¥7.712

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/21 13:28
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Sichuan Road & Bridge Group Co.,Ltd is covered by 11 analysts. 4 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Hongying ZuoAJ Securities Co., Ltd
Xian Gong RenBohai Securities Co., Ltd.
Henghui ShiChangjiang Securities Co. LTD.