Asian Star Anchor Chain Jiangsu Valuation

Q: What is the Fair Price of 601890 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

601890 (CN¥7.88) is trading above our estimate of [[fair value]] (CN¥0.87)

Is 601890 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 601890 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 601890 (CN¥7.88) is trading above our estimate of fair value (CN¥0.87)

Significantly Below Fair Value: 601890 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 601890?

Key metric: As 601890 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 601890. This is calculated by dividing 601890's market cap by their current earnings.
What is 601890's PE Ratio?
PE Ratio	29.8x
Earnings	CN¥253.92m
Market Cap	CN¥7.56b

601890 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	3.1x
Enterprise Value/EBITDA	19.2x
PEG Ratio	1.3x

Price to Earnings Ratio vs Peers

How does 601890's PE Ratio compare to its peers?

The above table shows the PE ratio for 601890 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	46.5x
688433 Farsoon Technologies	77.3x	68.4%	CN¥7.9b
603169 Lanzhou LS Heavy Equipment	67.5x	46.3%	CN¥7.7b
300545 Shenzhen Liande Automation Equipmentltd	26.7x	n/a	CN¥6.5b
000811 Moon Environment TechnologyLtd	14.4x	14.2%	CN¥8.1b
601890 Asian Star Anchor Chain Jiangsu	29.8x	22.8%	CN¥7.6b

Price-To-Earnings vs Peers: 601890 is good value based on its Price-To-Earnings Ratio (29.8x) compared to the peer average (46.5x).

Price to Earnings Ratio vs Industry

How does 601890'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: 601890 is good value based on its Price-To-Earnings Ratio (29.8x) compared to the CN Machinery industry average (34.4x).

Price to Earnings Ratio vs Fair Ratio

What is 601890'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.

601890 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	29.8x
Fair PE Ratio	21.6x

Price-To-Earnings vs Fair Ratio: 601890 is expensive based on its Price-To-Earnings Ratio (29.8x) compared to the estimated Fair Price-To-Earnings Ratio (21.6x).

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 601890 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¥7.88	CN¥9.95 +26.3%	15.6%	CN¥12.00	CN¥8.25	n/a	3
Nov ’25	CN¥7.81	CN¥9.95 +27.4%	15.6%	CN¥12.00	CN¥8.25	n/a	3
Oct ’25	CN¥7.94	CN¥9.91 +24.8%	15.1%	CN¥11.88	CN¥8.25	n/a	3
Sep ’25	CN¥6.84	CN¥9.91 +44.9%	15.1%	CN¥11.88	CN¥8.25	n/a	3
Aug ’25	CN¥7.36	CN¥10.21 +38.7%	14.4%	CN¥11.78	CN¥8.25	n/a	3
Jul ’25	CN¥7.09	CN¥10.21 +44.0%	14.4%	CN¥11.78	CN¥8.25	n/a	3
Jun ’25	CN¥7.75	CN¥10.66 +37.5%	14.0%	CN¥12.00	CN¥8.25	n/a	4
May ’25	CN¥8.16	CN¥10.66 +30.6%	14.0%	CN¥12.00	CN¥8.25	n/a	4
Apr ’25	CN¥8.41	CN¥12.08 +43.6%	2.6%	CN¥12.50	CN¥11.73	n/a	3
Mar ’25	CN¥8.38	CN¥12.08 +44.1%	2.6%	CN¥12.50	CN¥11.73	n/a	3
Feb ’25	CN¥7.44	CN¥12.08 +62.3%	2.6%	CN¥12.50	CN¥11.73	n/a	3
Jan ’25	CN¥9.90	CN¥12.08 +22.0%	2.6%	CN¥12.50	CN¥11.73	n/a	3
Dec ’24	CN¥9.24	CN¥12.08 +30.7%	2.6%	CN¥12.50	CN¥11.73	n/a	3
Nov ’24	CN¥9.36	CN¥12.08 +29.0%	2.6%	CN¥12.50	CN¥11.73	CN¥7.81	3
Oct ’24	CN¥9.59	CN¥11.85 +23.5%	5.1%	CN¥12.50	CN¥11.04	CN¥7.94	3
Sep ’24	CN¥10.03	CN¥11.85 +18.1%	5.1%	CN¥12.50	CN¥11.04	CN¥6.84	3
Aug ’24	CN¥10.59	CN¥12.25 +15.7%	2.0%	CN¥12.50	CN¥12.00	CN¥7.36	2
Jul ’24	CN¥11.58	CN¥11.25 -2.8%	2.2%	CN¥11.50	CN¥11.00	CN¥7.09	2

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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