Lutian Machinery Valuation

Is 605259 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 605259 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 605259 (CN¥15.34) is trading above our estimate of fair value (CN¥2.18)

Significantly Below Fair Value: 605259 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 605259?

Key metric: As 605259 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 605259. This is calculated by dividing 605259's market cap by their current earnings.
What is 605259's PE Ratio?
PE Ratio	15.6x
Earnings	CN¥169.12m
Market Cap	CN¥2.61b

605259 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	0.9x
Enterprise Value/EBITDA	8.5x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 605259's PE Ratio compare to its peers?

The above table shows the PE ratio for 605259 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	37.1x
003036 Zhejiang TaitanLtd	26x	n/a	CN¥2.6b
300195 Masterwork GroupLtd	68.1x	n/a	CN¥2.6b
001256 Zhejiang Weigang Technology	23.9x	n/a	CN¥2.4b
002598 Shandong Zhangqiu Blower	30.4x	n/a	CN¥3.0b
605259 Lutian Machinery	15.6x	n/a	CN¥2.6b

Price-To-Earnings vs Peers: 605259 is good value based on its Price-To-Earnings Ratio (15.6x) compared to the peer average (37.1x).

Price to Earnings Ratio vs Industry

How does 605259'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$397.65m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 605259 is good value based on its Price-To-Earnings Ratio (15.6x) compared to the CN Machinery industry average (34.7x).

Price to Earnings Ratio vs Fair Ratio

What is 605259'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.

605259 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.6x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 605259'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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