Hangzhou Advance Gearbox Group Valuation

Q: What is the Fair Price of 601177 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

601177 (CN¥8.48) is trading above our estimate of [[fair value]] (CN¥1.22)

Is 601177 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 601177 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 601177 (CN¥8.48) is trading above our estimate of fair value (CN¥1.22)

Significantly Below Fair Value: 601177 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 601177?

Key metric: As 601177 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 601177. This is calculated by dividing 601177's market cap by their current earnings.
What is 601177's PE Ratio?
PE Ratio	15.2x
Earnings	CN¥227.86m
Market Cap	CN¥3.46b

601177 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	2x
Enterprise Value/EBITDA	31.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 601177's PE Ratio compare to its peers?

The above table shows the PE ratio for 601177 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	37.6x
301137 HIT Welding IndustryLtd	73.6x	n/a	CN¥3.2b
002722 Wuchan Zhongda GeronLtd	21.4x	15.3%	CN¥3.2b
603726 Zhejiang Langdi Group	21.1x	n/a	CN¥3.3b
301468 Pourin Special Welding Technology	34.2x	37.7%	CN¥3.0b
601177 Hangzhou Advance Gearbox Group	15.2x	n/a	CN¥3.5b

Price-To-Earnings vs Peers: 601177 is good value based on its Price-To-Earnings Ratio (15.2x) compared to the peer average (37.6x).

Price to Earnings Ratio vs Industry

How does 601177's PE Ratio compare vs other companies in the CN Machinery Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
002021 Zoje Resources Investment	4.6x	n/a	US$398.30m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 601177 is good value based on its Price-To-Earnings Ratio (15.2x) compared to the CN Machinery industry average (34.4x).

Price to Earnings Ratio vs Fair Ratio

What is 601177'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.

601177 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.2x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 601177'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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