Tongqinglou Catering Co., Ltd.

SHSE:605108 Stock Report

Market Cap: CN¥6.2b

Tongqinglou Catering Valuation

Is 605108 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 605108 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 605108 (CN¥23.96) is trading below our estimate of fair value (CN¥44.37)

Significantly Below Fair Value: 605108 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 605108?

Key metric: As 605108 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 605108. This is calculated by dividing 605108's market cap by their current earnings.
What is 605108's PE Ratio?
PE Ratio33.6x
EarningsCN¥184.48m
Market CapCN¥6.24b

Price to Earnings Ratio vs Peers

How does 605108's PE Ratio compare to its peers?

The above table shows the PE ratio for 605108 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average41.6x
603043 Guangzhou Restaurant Group
18.2x15.4%CN¥9.2b
002186 China Quanjude(Group)Ltd
52.5xn/aCN¥3.1b
000888 Emei Shan TourismLtd
32x15.1%CN¥6.6b
300859 Western Regions Tourism DevelopmentLtd
63.8x44.3%CN¥5.9b
605108 Tongqinglou Catering
33.6x39.8%CN¥6.2b

Price-To-Earnings vs Peers: 605108 is good value based on its Price-To-Earnings Ratio (33.6x) compared to the peer average (41.6x).


Price to Earnings Ratio vs Industry

How does 605108's PE Ratio compare vs other companies in the CN Hospitality Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
605108 33.6xIndustry Avg. 46.9xNo. of Companies3PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 605108 is good value based on its Price-To-Earnings Ratio (33.6x) compared to the CN Hospitality industry average (46.9x).


Price to Earnings Ratio vs Fair Ratio

What is 605108'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.

605108 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio33.6x
Fair PE Ratio39.9x

Price-To-Earnings vs Fair Ratio: 605108 is good value based on its Price-To-Earnings Ratio (33.6x) compared to the estimated Fair Price-To-Earnings Ratio (39.9x).


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 605108 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥23.96
CN¥24.17
+0.9%
3.2%CN¥25.20CN¥23.30n/a3
Nov ’25CN¥20.23
CN¥24.17
+19.5%
3.2%CN¥25.20CN¥23.30n/a3
Oct ’25CN¥22.40
CN¥21.30
-4.9%
6.7%CN¥23.30CN¥20.00n/a3
Sep ’25CN¥16.99
CN¥27.13
+59.7%
27.3%CN¥37.50CN¥20.60n/a3
Aug ’25CN¥18.65
CN¥34.95
+87.4%
7.3%CN¥37.50CN¥32.40n/a2
Jul ’25CN¥21.58
CN¥34.95
+62.0%
7.3%CN¥37.50CN¥32.40n/a2
Jun ’25CN¥24.56
CN¥34.95
+42.3%
7.3%CN¥37.50CN¥32.40n/a2
May ’25CN¥26.95
CN¥34.95
+29.7%
7.3%CN¥37.50CN¥32.40n/a2
Apr ’25CN¥30.41
CN¥35.75
+17.5%
4.9%CN¥37.50CN¥33.99n/a2
Mar ’25CN¥29.00
CN¥35.75
+23.3%
4.9%CN¥37.50CN¥33.99n/a2
Feb ’25CN¥26.94
CN¥35.75
+32.7%
4.9%CN¥37.50CN¥33.99n/a2
Jan ’25CN¥30.44
CN¥35.75
+17.4%
4.9%CN¥37.50CN¥33.99n/a2
Dec ’24CN¥32.57
CN¥35.75
+9.7%
4.9%CN¥37.50CN¥33.99n/a2

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


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