Hangzhou Huaguang Advanced Welding Materials Co.,Ltd.

SHSE:688379 Stock Report

Market Cap: CN¥2.1b

Hangzhou Huaguang Advanced Welding MaterialsLtd Valuation

Is 688379 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • 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 688379 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 688379 (CN¥23.49) is trading above our estimate of fair value (CN¥5.57)

Significantly Below Fair Value: 688379 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 688379?

Key metric: As 688379 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 688379. This is calculated by dividing 688379's market cap by their current earnings.
What is 688379's PE Ratio?
PE Ratio24.6x
EarningsCN¥82.88m
Market CapCN¥2.10b

Price to Earnings Ratio vs Peers

How does 688379's PE Ratio compare to its peers?

The above table shows the PE ratio for 688379 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average58.9x
300963 Shanghai Zhongzhou Special Alloy Materials
39.2x32.3%CN¥3.0b
688786 Jiangxi Yuean Advanced MaterialsLtd
36.8x45.0%CN¥2.9b
688456 GRIPM Advanced Materials
56.3x29.9%CN¥3.3b
688231 Jiangsu Longda Superalloy
103.3xn/aCN¥3.6b
688379 Hangzhou Huaguang Advanced Welding MaterialsLtd
24.6x23.2%CN¥2.1b

Price-To-Earnings vs Peers: 688379 is good value based on its Price-To-Earnings Ratio (24.6x) compared to the peer average (58.9x).

Price to Earnings Ratio vs Industry

How does 688379's PE Ratio compare vs other companies in the CN Metals and Mining Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
600117 Xining Special Steel.Co.Ltd
3.5xn/aUS$1.16b
No more companies available in this PE range
688379 24.6xIndustry Avg. 27.1xNo. of Companies24PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 688379 is good value based on its Price-To-Earnings Ratio (24.6x) compared to the CN Metals and Mining industry average (27.1x).

Price to Earnings Ratio vs Fair Ratio

What is 688379'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.

688379 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.6x
Fair PE Ratio20.7x

Price-To-Earnings vs Fair Ratio: 688379 is expensive based on its Price-To-Earnings Ratio (24.6x) compared to the estimated Fair Price-To-Earnings Ratio (20.7x).

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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