Sinosteel Engineering & Technology Co., Ltd.

XSEC:000928 Stock Report

Market Cap: CN¥10.2b

Sinosteel Engineering & Technology Valuation

Is 000928 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • 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 000928 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 000928 (CN¥7.1) is trading above our estimate of fair value (CN¥6.49)

Significantly Below Fair Value: 000928 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 000928?

Key metric: As 000928 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 000928. This is calculated by dividing 000928's market cap by their current earnings.
What is 000928's PE Ratio?
PE Ratio11.2x
EarningsCN¥910.59m
Market CapCN¥10.19b

Price to Earnings Ratio vs Peers

How does 000928's PE Ratio compare to its peers?

The above table shows the PE ratio for 000928 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.4x
000065 NORINCO International Cooperation
10.9x9.3%CN¥10.8b
002051 China CAMC Engineering
33.1x15.4%CN¥11.1b
000498 Shandong Hi-Speed Road&Bridge Group
4.2x8.0%CN¥9.9b
002929 Runjian
25.4x28.1%CN¥8.3b
000928 Sinosteel Engineering & Technology
11.2x9.9%CN¥10.2b

Price-To-Earnings vs Peers: 000928 is good value based on its Price-To-Earnings Ratio (11.2x) compared to the peer average (18.4x).

Price to Earnings Ratio vs Industry

How does 000928's PE Ratio compare vs other companies in the CN Construction Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
601668 China State Construction Engineering
5x6.8%US$34.36b
600248 Shaanxi Construction Engineering Group
4.4x12.6%US$2.36b
000498 Shandong Hi-Speed Road&Bridge Group
4.2x8.0%US$1.36b
002482 Shenzhen Grandland Group
3.1xn/aUS$1.18b
000928 11.2xIndustry Avg. 23.9xNo. of Companies16PE020406080100+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 000928 is good value based on its Price-To-Earnings Ratio (11.2x) compared to the CN Construction industry average (23.9x).

Price to Earnings Ratio vs Fair Ratio

What is 000928'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.

000928 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.2x
Fair PE Ratio17.1x

Price-To-Earnings vs Fair Ratio: 000928 is good value based on its Price-To-Earnings Ratio (11.2x) compared to the estimated Fair Price-To-Earnings Ratio (17.1x).

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 000928 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥7.10
CN¥9.96
+40.2%
11.4%CN¥11.09CN¥8.82n/a2
Nov ’25CN¥6.53
CN¥9.96
+52.5%
11.4%CN¥11.09CN¥8.82n/a2
Oct ’25CN¥6.50
CN¥9.20
+41.5%
20.6%CN¥11.09CN¥7.30n/a2
Sep ’25CN¥5.54
CN¥9.20
+66.0%
20.6%CN¥11.09CN¥7.30n/a2
Aug ’25CN¥5.75
CN¥10.11
+75.7%
9.7%CN¥11.09CN¥9.12n/a2
Jul ’25CN¥5.66
CN¥9.59
+69.5%
11.3%CN¥11.09CN¥8.57n/a3
Jun ’25CN¥6.37
CN¥9.59
+50.6%
11.3%CN¥11.09CN¥8.57n/a3
May ’25CN¥6.48
CN¥8.27
+27.6%
10.3%CN¥9.12CN¥7.42n/a2
Apr ’25CN¥6.28
CN¥10.21
+62.6%
27.3%CN¥14.02CN¥7.42n/a3
Mar ’25CN¥6.41
CN¥10.21
+59.3%
27.3%CN¥14.02CN¥7.42n/a3
Feb ’25CN¥6.45
CN¥10.21
+58.3%
27.3%CN¥14.02CN¥7.42n/a3
Jan ’25CN¥5.83
CN¥12.20
+109.3%
17.6%CN¥14.02CN¥9.19n/a3
Dec ’24CN¥6.12
CN¥12.20
+99.4%
17.6%CN¥14.02CN¥9.19n/a3
Nov ’24CN¥6.20
CN¥12.20
+96.8%
17.6%CN¥14.02CN¥9.19CN¥6.533
Oct ’24CN¥8.11
CN¥13.39
+65.1%
3.9%CN¥14.02CN¥12.74CN¥6.503
Sep ’24CN¥8.11
CN¥13.38
+65.0%
4.8%CN¥14.02CN¥12.74CN¥5.542
Aug ’24CN¥10.14
CN¥13.41
+32.2%
5.0%CN¥14.08CN¥12.74CN¥5.752

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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