Shanghai Liangxin Electrical Co.,LTD.

SZSE:002706 Stock Report

Market Cap: CN¥12.0b

Shanghai Liangxin ElectricalLTD Valuation

Is 002706 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of 002706 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: 002706 (CN¥11.03) is trading above our estimate of future cash flow value (CN¥9.04)

Significantly Below Future Cash Flow Value: 002706 is trading above our estimate of future cash flow value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 002706?

Key metric: As 002706 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 002706. This is calculated by dividing 002706's market cap by their current earnings.
What is 002706's PE Ratio?
PE Ratio39.1x
EarningsCN¥305.66m
Market CapCN¥11.96b

Price to Earnings Ratio vs Peers

How does 002706's PE Ratio compare to its peers?

The above table shows the PE ratio for 002706 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average70.4x
600478 Hunan Corun New Energy
62xn/aCN¥11.7b
002882 Jinlongyu Group
114.2xn/aCN¥13.5b
601222 Jiangsu Linyang Energy
62.3x105.79%CN¥12.6b
000922 Harbin Electric Corporation Jiamusi Electric MachineLtd
42.9x68.31%CN¥10.6b
002706 Shanghai Liangxin ElectricalLTD
39.1x32.93%CN¥12.0b

Price-To-Earnings vs Peers: 002706 is good value based on its Price-To-Earnings Ratio (39.1x) compared to the peer average (70.4x).


Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data


Price to Earnings Ratio vs Industry

How does 002706's PE Ratio compare vs other companies in the CN Electrical Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
300023 Bode Energy Equipment
3.6xn/aUS$51.42m
No more companies available in this PE range
002706 39.1xIndustry Avg. 58.0xNo. of Companies27PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 002706 is good value based on its Price-To-Earnings Ratio (39.1x) compared to the CN Electrical industry average (58x).


Price to Earnings Ratio vs Fair Ratio

What is 002706'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.

002706 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio39.1x
Fair PE Ratio38.9x

Price-To-Earnings vs Fair Ratio: 002706 is expensive based on its Price-To-Earnings Ratio (39.1x) compared to the estimated Fair Price-To-Earnings Ratio (38.9x).


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 002706 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥11.03
CN¥12.75
+15.55%
10.40%CN¥15.00CN¥11.70n/a4
Feb ’27CN¥10.48
CN¥12.75
+21.61%
10.40%CN¥15.00CN¥11.70n/a4
Jan ’27CN¥10.78
CN¥12.75
+18.23%
10.40%CN¥15.00CN¥11.70n/a4
Dec ’26CN¥9.97
CN¥12.75
+27.83%
10.40%CN¥15.00CN¥11.70n/a4
Nov ’26CN¥10.60
CN¥12.02
+13.40%
18.32%CN¥15.00CN¥8.80n/a4
Oct ’26CN¥11.35
CN¥12.30
+8.33%
18.20%CN¥15.00CN¥8.80n/a4
Sep ’26CN¥11.43
CN¥12.30
+7.57%
18.20%CN¥15.00CN¥8.80n/a4
Aug ’26CN¥9.15
CN¥9.55
+4.37%
9.98%CN¥11.00CN¥8.60n/a4
Jul ’26CN¥9.21
CN¥9.55
+3.69%
9.98%CN¥11.00CN¥8.60n/a4
Jun ’26CN¥8.36
CN¥9.55
+14.23%
9.98%CN¥11.00CN¥8.60n/a4
May ’26CN¥8.36
CN¥9.55
+14.23%
9.98%CN¥11.00CN¥8.60n/a4
Apr ’26CN¥8.84
CN¥8.05
-8.94%
11.61%CN¥9.10CN¥6.85n/a5
Mar ’26CN¥7.95
CN¥7.16
-9.91%
13.28%CN¥8.70CN¥6.10n/a4
Feb ’26CN¥6.83
CN¥7.16
+4.87%
13.28%CN¥8.70CN¥6.10CN¥10.484
Jan ’26CN¥7.68
CN¥7.11
-7.42%
12.05%CN¥8.70CN¥6.10CN¥10.785
Dec ’25CN¥7.02
CN¥7.11
+1.28%
12.05%CN¥8.70CN¥6.10CN¥9.975
Nov ’25CN¥6.74
CN¥7.41
+9.99%
13.97%CN¥8.93CN¥6.10CN¥10.606
Oct ’25CN¥7.54
CN¥7.20
-4.55%
12.40%CN¥8.93CN¥6.00CN¥11.356
Sep ’25CN¥5.91
CN¥7.20
+21.77%
12.40%CN¥8.93CN¥6.00CN¥11.436
Aug ’25CN¥6.25
CN¥9.86
+57.81%
16.08%CN¥12.00CN¥7.00CN¥9.156
Jul ’25CN¥6.86
CN¥9.86
+43.78%
16.08%CN¥12.00CN¥7.00CN¥9.216
Jun ’25CN¥8.09
CN¥9.86
+21.92%
16.08%CN¥12.00CN¥7.00CN¥8.366
May ’25CN¥7.80
CN¥9.86
+26.45%
16.08%CN¥12.00CN¥7.00CN¥8.366
Apr ’25CN¥7.99
CN¥10.53
+31.79%
23.75%CN¥15.00CN¥7.00CN¥8.846
Mar ’25CN¥7.69
CN¥14.03
+82.44%
7.83%CN¥15.00CN¥12.00CN¥7.955
Feb ’25CN¥6.86
CN¥14.03
+104.52%
7.83%CN¥15.00CN¥12.00CN¥6.835
CN¥12.75
Fair Value
13.5% undervalued intrinsic discount
4
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/02/15 20:52
End of Day Share Price 2026/02/13 00:00
Earnings2025/09/30
Annual Earnings2024/12/31

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.

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 Github.

Analyst Sources

Shanghai Liangxin Electrical Co.,LTD. is covered by 14 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Haoyuan QuChina International Capital Corporation Limited
Pengwei HuaCitic Securities Co., Ltd.
Xia HuaCitic Securities Co., Ltd.