Shandong Huifa FoodstuffLtd Valuation

Q: What is the Fair Price of 603536 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

603536 (CN¥9.19) is trading below our estimate of [[fair value]] (CN¥17.23)

Is 603536 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-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 603536 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 603536 (CN¥9.19) is trading below our estimate of fair value (CN¥17.23)

Significantly Below Fair Value: 603536 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 603536?

Key metric: As 603536 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 603536. This is calculated by dividing 603536's market cap by their current revenue.
What is 603536's PS Ratio?
PS Ratio	1.1x
Sales	CN¥2.00b
Market Cap	CN¥2.21b

603536 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	1.3x
Enterprise Value/EBITDA	24.5x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 603536's PS Ratio compare to its peers?

The above table shows the PS ratio for 603536 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	1.5x
600097 Shanghai Kaichuang Marine International	0.9x	n/a	CN¥2.2b
002702 HaiXin FoodsLtd	1.3x	n/a	CN¥2.2b
300967 Ningxia Xiaoming Agriculture & Animal HusbandryLtd	2.7x	n/a	CN¥2.3b
603182 Shandong Sinoglory Health Food	1.3x	n/a	CN¥2.0b
603536 Shandong Huifa FoodstuffLtd	1.1x	n/a	CN¥2.2b

Price-To-Sales vs Peers: 603536 is good value based on its Price-To-Sales Ratio (1.1x) compared to the peer average (1.5x).

Price to Sales Ratio vs Industry

How does 603536's PS Ratio compare vs other companies in the CN Food Industry?

5 Companies	Price / Sales	Estimated Growth	Market Cap
603609 Wellhope Foods	0.2x	9.6%	US$1.01b
600073 Shanghai Bright Meat Group	0.3x	n/a	US$880.07m
301116 Jiangsu Yike Food GroupLtd	0.2x	20.1%	US$694.77m
603363 Fujian Aonong Biological Technology Group Incorporation	0.3x	n/a	US$430.00m

5 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Sales vs Industry: 603536 is good value based on its Price-To-Sales Ratio (1.1x) compared to the CN Food industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is 603536's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

603536 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 603536's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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