Panda Dairy Valuation

Q: What is the Fair Price of 300898 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

300898 (CN¥20.98) is trading below our estimate of [[fair value]] (CN¥148.2)

Is 300898 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 300898 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 300898 (CN¥20.98) is trading below our estimate of fair value (CN¥148.2)

Significantly Below Fair Value: 300898 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 300898?

Key metric: As 300898 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 300898. This is calculated by dividing 300898's market cap by their current earnings.
What is 300898's PE Ratio?
PE Ratio	24.7x
Earnings	CN¥105.35m
Market Cap	CN¥2.75b

300898 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	2.8x
Enterprise Value/EBITDA	17.4x
PEG Ratio	1.9x

Price to Earnings Ratio vs Peers

How does 300898's PE Ratio compare to its peers?

The above table shows the PE ratio for 300898 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	30.9x
001219 Qingdao Foods	26.8x	n/a	CN¥2.6b
002772 Tianshui Zhongxing Bio-technologyLtd	37.8x	n/a	CN¥2.7b
002732 Guangdong Yantang Dairy	21x	n/a	CN¥2.5b
002661 Chen Ke Ming Food Manufacturing	38.1x	n/a	CN¥3.0b
300898 Panda Dairy	24.7x	13.3%	CN¥2.6b

Price-To-Earnings vs Peers: 300898 is good value based on its Price-To-Earnings Ratio (24.7x) compared to the peer average (30.9x).

Price to Earnings Ratio vs Industry

How does 300898's PE Ratio compare vs other companies in the CN Food Industry?

3 Companies	Price / Earnings	Estimated Growth	Market Cap
002157 Jiangxi Zhengbang TechnologyLtd	2.4x	n/a	US$3.93b
600872 Jonjee Hi-Tech Industrial and Commercial HoldingLtd	4.6x	-46.9%	US$2.27b
002086 Shandong Oriental Ocean Sci-Tech	3.4x	n/a	US$824.34m

No more companies available in this PE range

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 300898 is good value based on its Price-To-Earnings Ratio (24.7x) compared to the CN Food industry average (29.2x).

Price to Earnings Ratio vs Fair Ratio

What is 300898'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.

300898 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	24.7x
Fair PE Ratio	19.5x

Price-To-Earnings vs Fair Ratio: 300898 is expensive based on its Price-To-Earnings Ratio (24.7x) compared to the estimated Fair Price-To-Earnings Ratio (19.4x).

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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