Yifeng Pharmacy Chain Valuation

Is 603939 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 603939 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 603939 (CN¥23.55) is trading below our estimate of fair value (CN¥193.41)

Significantly Below Fair Value: 603939 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 603939?

Key metric: As 603939 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 603939. This is calculated by dividing 603939's market cap by their current earnings.
What is 603939's PE Ratio?
PE Ratio	18.7x
Earnings	CN¥1.52b
Market Cap	CN¥28.55b

603939 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	1.1x
Enterprise Value/EBITDA	11.3x
PEG Ratio	1.1x

Price to Earnings Ratio vs Peers

How does 603939's PE Ratio compare to its peers?

The above table shows the PE ratio for 603939 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	31.9x
603233 DaShenLin Pharmaceutical Group	21.5x	24.9%	CN¥18.3b
603883 LBX Pharmacy Chain	16.3x	18.2%	CN¥13.8b
002727 Yixintang Pharmaceutical Group	53.4x	45.8%	CN¥8.3b
301408 Anhui Huaren Health Pharmaceutical	36.4x	n/a	CN¥4.9b
603939 Yifeng Pharmacy Chain	18.7x	17.7%	CN¥28.6b

Price-To-Earnings vs Peers: 603939 is good value based on its Price-To-Earnings Ratio (18.7x) compared to the peer average (31.9x).

Price to Earnings Ratio vs Industry

How does 603939's PE Ratio compare vs other companies in the CN Consumer Retailing 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: 603939 is good value based on its Price-To-Earnings Ratio (18.7x) compared to the CN Consumer Retailing industry average (26.8x).

Price to Earnings Ratio vs Fair Ratio

What is 603939'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.

603939 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	18.7x
Fair PE Ratio	22.7x

Price-To-Earnings vs Fair Ratio: 603939 is good value based on its Price-To-Earnings Ratio (18.7x) compared to the estimated Fair Price-To-Earnings Ratio (22.7x).

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 603939 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¥22.56	CN¥37.02 +64.1%	18.1%	CN¥48.33	CN¥25.00	n/a	15
Nov ’25	CN¥26.10	CN¥36.31 +39.1%	20.8%	CN¥48.33	CN¥25.00	n/a	15
Oct ’25	CN¥25.52	CN¥37.27 +46.0%	20.1%	CN¥48.33	CN¥25.00	n/a	14
Sep ’25	CN¥20.17	CN¥41.66 +106.5%	11.0%	CN¥48.33	CN¥29.90	n/a	13
Aug ’25	CN¥20.14	CN¥42.98 +113.4%	7.7%	CN¥48.33	CN¥37.30	n/a	13
Jul ’25	CN¥25.61	CN¥44.33 +73.1%	8.0%	CN¥48.33	CN¥37.30	n/a	13
Jun ’25	CN¥37.55	CN¥44.70 +19.0%	6.4%	CN¥48.33	CN¥39.63	n/a	13
May ’25	CN¥36.62	CN¥43.38 +18.5%	7.3%	CN¥47.17	CN¥36.50	n/a	10
Apr ’25	CN¥33.30	CN¥43.02 +29.2%	7.8%	CN¥48.33	CN¥36.50	n/a	12
Mar ’25	CN¥32.96	CN¥42.74 +29.7%	8.1%	CN¥48.33	CN¥36.50	n/a	11
Feb ’25	CN¥32.18	CN¥42.74 +32.8%	8.1%	CN¥48.33	CN¥36.50	n/a	11
Jan ’25	CN¥33.37	CN¥39.80 +19.3%	15.0%	CN¥48.33	CN¥27.98	n/a	11
Dec ’24	CN¥31.96	CN¥39.73 +24.3%	14.8%	CN¥48.33	CN¥27.98	n/a	11
Nov ’24	CN¥28.61	CN¥39.84 +39.3%	14.2%	CN¥48.33	CN¥27.98	CN¥26.10	12
Oct ’24	CN¥29.23	CN¥40.57 +38.8%	14.4%	CN¥48.33	CN¥27.98	CN¥25.52	12
Sep ’24	CN¥29.17	CN¥39.58 +35.7%	13.4%	CN¥48.33	CN¥27.98	CN¥20.17	12
Aug ’24	CN¥32.10	CN¥37.68 +17.4%	14.3%	CN¥48.33	CN¥27.98	CN¥20.14	11
Jul ’24	CN¥30.83	CN¥38.42 +24.6%	13.0%	CN¥45.83	CN¥27.98	CN¥25.61	11
Jun ’24	CN¥29.66	CN¥39.83 +34.3%	12.2%	CN¥45.83	CN¥27.98	CN¥37.55	10
May ’24	CN¥29.65	CN¥40.13 +35.3%	14.9%	CN¥45.83	CN¥26.79	CN¥36.62	8
Apr ’24	CN¥34.42	CN¥39.90 +15.9%	16.6%	CN¥49.40	CN¥26.79	CN¥33.30	8
Mar ’24	CN¥35.31	CN¥40.27 +14.0%	17.2%	CN¥49.40	CN¥26.79	CN¥32.96	8
Feb ’24	CN¥34.58	CN¥39.90 +15.4%	16.6%	CN¥49.40	CN¥26.79	CN¥32.18	8
Jan ’24	CN¥38.00	CN¥37.77 -0.6%	15.5%	CN¥45.83	CN¥26.79	CN¥33.37	7
Dec ’23	CN¥39.89	CN¥37.77 -5.3%	15.5%	CN¥45.83	CN¥26.79	CN¥31.96	7
Nov ’23	CN¥33.92	CN¥37.26 +9.8%	14.1%	CN¥44.05	CN¥26.79	CN¥28.61	7

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.