Hubei Wanrun New Energy TechnologyLtd Valuation

Is 688275 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 688275 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 688275 (CN¥59.28) is trading below our estimate of fair value (CN¥100.54)

Significantly Below Fair Value: 688275 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 688275?

Key metric: As 688275 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 688275. This is calculated by dividing 688275's market cap by their current revenue.
What is 688275's PS Ratio?
PS Ratio	1x
Sales	CN¥7.03b
Market Cap	CN¥7.30b

688275 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	1.6x
Enterprise Value/EBITDA	-15x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 688275's PS Ratio compare to its peers?

The above table shows the PS ratio for 688275 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	1.5x
605196 Hebei Huatong Wires and Cables Group	1.1x	11.3%	CN¥6.4b
605222 Shanghai QiFan Cable	0.3x	10.2%	CN¥6.8b
600268 Guodian Nanjing Automation	0.9x	n/a	CN¥6.9b
300351 Zhejiang Yonggui Electric Equipment	3.8x	21.1%	CN¥7.1b
688275 Hubei Wanrun New Energy TechnologyLtd	1x	33.7%	CN¥7.3b

Price-To-Sales vs Peers: 688275 is good value based on its Price-To-Sales Ratio (1x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does 688275's PS Ratio compare vs other companies in the CN Electrical Industry?

6 Companies	Price / Sales	Estimated Growth	Market Cap
605222 Shanghai QiFan Cable	0.3x	10.2%	US$934.32m
600973 Baosheng Science and Technology InnovationLtd	0.1x	4.2%	US$820.05m
603897 Zhejiang grandwall electric science&technologyltd	0.4x	n/a	US$636.32m
002300 Fujian Nanping Sun Cable	0.3x	n/a	US$573.60m

6 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 688275 is good value based on its Price-To-Sales Ratio (1x) compared to the CN Electrical industry average (2.4x).

Price to Sales Ratio vs Fair Ratio

What is 688275's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

688275 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1x
Fair PS Ratio	1x

Price-To-Sales vs Fair Ratio: 688275 is good value based on its Price-To-Sales Ratio (1x) compared to the estimated Fair Price-To-Sales Ratio (1x).

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 688275 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¥59.28	CN¥86.00 +45.1%	7.0%	CN¥92.00	CN¥80.00	n/a	2
Jun ’25	CN¥40.63	CN¥75.50 +85.8%	6.0%	CN¥80.00	CN¥71.00	n/a	2
May ’25	CN¥41.63	CN¥75.50 +81.4%	6.0%	CN¥80.00	CN¥71.00	n/a	2
Apr ’25	CN¥44.87	CN¥75.50 +68.3%	6.0%	CN¥80.00	CN¥71.00	n/a	2
Mar ’25	CN¥48.88	CN¥75.50 +54.5%	6.0%	CN¥80.00	CN¥71.00	n/a	2
Feb ’25	CN¥44.32	CN¥75.50 +70.4%	6.0%	CN¥80.00	CN¥71.00	n/a	2
Jan ’25	CN¥61.67	CN¥75.50 +22.4%	6.0%	CN¥80.00	CN¥71.00	n/a	2

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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