Chow Tai Seng Jewellery Valuation

Q: What is the Fair Price of 002867 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

002867 (CN¥12.24) is trading below our estimate of [[fair value]] (CN¥13.27)

Is 002867 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

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 002867 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 002867 (CN¥12.24) is trading below our estimate of fair value (CN¥13.27)

Significantly Below Fair Value: 002867 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 002867?

Key metric: As 002867 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 002867. This is calculated by dividing 002867's market cap by their current earnings.
What is 002867's PE Ratio?
PE Ratio	12.4x
Earnings	CN¥1.08b
Market Cap	CN¥13.29b

002867 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	0.8x
Enterprise Value/EBITDA	8.1x
PEG Ratio	1x

Price to Earnings Ratio vs Peers

How does 002867's PE Ratio compare to its peers?

The above table shows the PE ratio for 002867 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	21.3x
002832 BIEM.L.FDLKK GarmentLtd	11.6x	17.7%	CN¥10.8b
600916 China National Gold Group Gold JewelleryLtd	14.9x	13.5%	CN¥14.6b
002003 Zhejiang Weixing Industrial Development	24.4x	16.1%	CN¥15.3b
002612 Lancy	34.4x	24.4%	CN¥7.5b
002867 Chow Tai Seng Jewellery	12.4x	12.9%	CN¥13.3b

Price-To-Earnings vs Peers: 002867 is good value based on its Price-To-Earnings Ratio (12.4x) compared to the peer average (21.4x).

Price to Earnings Ratio vs Industry

How does 002867's PE Ratio compare vs other companies in the CN Luxury Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap

No more companies available in this PE range

0 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 002867 is good value based on its Price-To-Earnings Ratio (12.4x) compared to the CN Luxury industry average (22.2x).

Price to Earnings Ratio vs Fair Ratio

What is 002867'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.

002867 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	12.4x
Fair PE Ratio	17.6x

Price-To-Earnings vs Fair Ratio: 002867 is good value based on its Price-To-Earnings Ratio (12.4x) compared to the estimated Fair Price-To-Earnings Ratio (17.6x).

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 002867 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¥12.24	CN¥12.85 +5.0%	10.8%	CN¥14.80	CN¥11.00	n/a	6
Nov ’25	CN¥11.15	CN¥13.43 +20.5%	15.4%	CN¥17.15	CN¥11.00	n/a	6
Oct ’25	CN¥13.19	CN¥13.60 +3.1%	16.8%	CN¥17.15	CN¥10.50	n/a	5
Sep ’25	CN¥10.88	CN¥14.35 +31.9%	25.8%	CN¥20.22	CN¥10.50	n/a	4
Aug ’25	CN¥11.77	CN¥20.05 +70.3%	3.5%	CN¥20.96	CN¥19.00	n/a	4
Jul ’25	CN¥13.37	CN¥20.05 +49.9%	3.5%	CN¥20.96	CN¥19.00	n/a	4
Jun ’25	CN¥16.73	CN¥20.05 +19.8%	3.5%	CN¥20.96	CN¥19.00	n/a	4
May ’25	CN¥15.97	CN¥20.42 +27.9%	1.8%	CN¥20.96	CN¥20.00	n/a	4
Apr ’25	CN¥19.10	CN¥21.08 +10.3%	5.2%	CN¥22.90	CN¥20.00	n/a	5
Mar ’25	CN¥18.19	CN¥21.08 +15.9%	5.2%	CN¥22.90	CN¥20.00	n/a	5
Feb ’25	CN¥16.01	CN¥21.08 +31.6%	5.2%	CN¥22.90	CN¥20.00	n/a	5
Jan ’25	CN¥15.18	CN¥21.08 +38.8%	5.2%	CN¥22.90	CN¥20.00	n/a	5
Dec ’24	CN¥15.52	CN¥21.08 +35.8%	5.2%	CN¥22.90	CN¥20.00	n/a	5
Nov ’24	CN¥14.77	CN¥21.08 +42.7%	5.2%	CN¥22.90	CN¥20.00	CN¥11.15	5
Oct ’24	CN¥17.70	CN¥21.47 +21.3%	5.0%	CN¥22.90	CN¥20.00	CN¥13.19	5
Sep ’24	CN¥17.11	CN¥21.37 +24.9%	4.4%	CN¥22.39	CN¥20.00	CN¥10.88	5
Aug ’24	CN¥16.59	CN¥21.37 +28.8%	4.4%	CN¥22.39	CN¥20.00	CN¥11.77	5
Jul ’24	CN¥17.78	CN¥21.37 +20.2%	4.4%	CN¥22.39	CN¥20.00	CN¥13.37	5
Jun ’24	CN¥16.99	CN¥20.97 +23.4%	7.1%	CN¥22.39	CN¥18.50	CN¥16.73	5
May ’24	CN¥16.92	CN¥19.21 +13.5%	9.1%	CN¥21.78	CN¥16.98	CN¥15.97	4
Apr ’24	CN¥15.84	CN¥17.47 +10.3%	10.2%	CN¥19.57	CN¥14.82	CN¥19.10	4
Mar ’24	CN¥16.88	CN¥17.47 +3.5%	10.2%	CN¥19.57	CN¥14.82	CN¥18.19	4
Feb ’24	CN¥15.53	CN¥17.47 +12.5%	10.2%	CN¥19.57	CN¥14.82	CN¥16.01	4
Jan ’24	CN¥14.03	CN¥16.16 +15.2%	10.4%	CN¥18.50	CN¥14.35	CN¥15.18	4
Dec ’23	CN¥13.68	CN¥16.16 +18.1%	10.4%	CN¥18.50	CN¥14.35	CN¥15.52	4
Nov ’23	CN¥11.89	CN¥16.16 +35.9%	10.4%	CN¥18.50	CN¥14.35	CN¥14.77	4

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