Hisense Visual Technology Valuation

Q: What is the Fair Price of 600060 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

600060 (CN¥21.25) is trading below our estimate of [[fair value]] (CN¥33.02)

Is 600060 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-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 600060 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 600060 (CN¥21.25) is trading below our estimate of fair value (CN¥33.02)

Significantly Below Fair Value: 600060 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 600060?

Key metric: As 600060 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 600060. This is calculated by dividing 600060's market cap by their current earnings.
What is 600060's PE Ratio?
PE Ratio	15.3x
Earnings	CN¥1.78b
Market Cap	CN¥27.23b

600060 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	0.4x
Enterprise Value/EBITDA	7.2x
PEG Ratio	1x

Price to Earnings Ratio vs Peers

How does 600060's PE Ratio compare to its peers?

The above table shows the PE ratio for 600060 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	60.3x
300735 DBG Technology	86.2x	45.9%	CN¥26.5b
002429 Shenzhen MTC	13.2x	20.0%	CN¥22.3b
002351 Edifier Technology	30.5x	24.8%	CN¥14.6b
000801 Sichuan Jiuzhou Electronic	111.3x	n/a	CN¥19.9b
600060 Hisense Visual Technology	15.3x	15.3%	CN¥27.2b

Price-To-Earnings vs Peers: 600060 is good value based on its Price-To-Earnings Ratio (15.3x) compared to the peer average (60.3x).

Price to Earnings Ratio vs Industry

How does 600060's PE Ratio compare vs other companies in the CN Consumer Durables Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
002473 Ningbo Sunlight Electrical ApplianceLtd	3.5x	n/a	US$18.86m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 600060 is good value based on its Price-To-Earnings Ratio (15.3x) compared to the CN Consumer Durables industry average (21.8x).

Price to Earnings Ratio vs Fair Ratio

What is 600060'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.

600060 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.3x
Fair PE Ratio	20.5x

Price-To-Earnings vs Fair Ratio: 600060 is good value based on its Price-To-Earnings Ratio (15.3x) compared to the estimated Fair Price-To-Earnings Ratio (20.5x).

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 600060 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¥21.25	CN¥22.16 +4.3%	13.1%	CN¥25.48	CN¥18.00	n/a	5
Nov ’25	CN¥21.93	CN¥22.16 +1.1%	13.1%	CN¥25.48	CN¥18.00	n/a	5
Oct ’25	CN¥22.38	CN¥18.29 -18.3%	22.7%	CN¥24.50	CN¥11.50	n/a	5
Sep ’25	CN¥15.65	CN¥20.88 +33.4%	33.9%	CN¥32.40	CN¥11.50	n/a	5
Aug ’25	CN¥17.43	CN¥25.03 +43.6%	36.1%	CN¥32.40	CN¥12.30	n/a	3
Jul ’25	CN¥25.11	CN¥25.03 -0.3%	36.1%	CN¥32.40	CN¥12.30	n/a	3
Jun ’25	CN¥27.39	CN¥25.03 -8.6%	36.1%	CN¥32.40	CN¥12.30	n/a	3
May ’25	CN¥27.85	CN¥30.23 +8.5%	0.6%	CN¥30.40	CN¥30.06	n/a	2
Apr ’25	CN¥23.63	CN¥23.62 -0.04%	34.0%	CN¥30.06	CN¥12.30	n/a	3
Mar ’25	CN¥25.57	CN¥23.31 -8.9%	33.7%	CN¥30.06	CN¥12.30	n/a	3
Feb ’25	CN¥22.34	CN¥23.31 +4.3%	33.7%	CN¥30.06	CN¥12.30	n/a	3
Jan ’25	CN¥20.90	CN¥23.31 +11.5%	33.7%	CN¥30.06	CN¥12.30	n/a	3
Dec ’24	CN¥23.53	CN¥23.31 -0.9%	33.7%	CN¥30.06	CN¥12.30	n/a	3
Nov ’24	CN¥23.99	CN¥23.37 -2.6%	33.8%	CN¥30.24	CN¥12.30	CN¥21.93	3
Oct ’24	CN¥22.46	CN¥19.40 -13.6%	36.6%	CN¥26.50	CN¥12.30	CN¥22.38	2
Sep ’24	CN¥21.10	CN¥18.25 -13.5%	45.2%	CN¥26.50	CN¥10.00	CN¥15.65	2
Aug ’24	CN¥21.62	CN¥18.68 -13.6%	31.3%	CN¥26.50	CN¥10.00	CN¥17.43	4
Jul ’24	CN¥24.75	CN¥18.68 -24.5%	31.3%	CN¥26.50	CN¥10.00	CN¥25.11	4
Jun ’24	CN¥21.61	CN¥18.68 -13.6%	31.3%	CN¥26.50	CN¥10.00	CN¥27.39	4
May ’24	CN¥22.30	CN¥18.68 -16.3%	31.3%	CN¥26.50	CN¥10.00	CN¥27.85	4
Apr ’24	CN¥19.73	CN¥16.73 -15.2%	23.2%	CN¥19.20	CN¥10.00	CN¥23.63	4
Mar ’24	CN¥16.38	CN¥16.53 +0.9%	21.2%	CN¥19.20	CN¥10.00	CN¥25.57	5
Feb ’24	CN¥15.42	CN¥16.53 +7.2%	21.2%	CN¥19.20	CN¥10.00	CN¥22.34	5
Jan ’24	CN¥13.54	CN¥14.73 +8.8%	19.2%	CN¥17.50	CN¥10.00	CN¥20.90	4
Dec ’23	CN¥13.79	CN¥14.73 +6.8%	19.2%	CN¥17.50	CN¥10.00	CN¥23.53	4
Nov ’23	CN¥12.48	CN¥14.73 +18.0%	19.2%	CN¥17.50	CN¥10.00	CN¥23.99	4

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