Tianshan Aluminum GroupLtd Valuation

Q: What is the Fair Price of 002532 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

002532 (CN¥8.03) is trading below our estimate of [[fair value]] (CN¥20.02)

Is 002532 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 002532 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 002532 (CN¥8.03) is trading below our estimate of fair value (CN¥20.02)

Significantly Below Fair Value: 002532 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 002532?

Key metric: As 002532 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 002532. This is calculated by dividing 002532's market cap by their current earnings.
What is 002532's PE Ratio?
PE Ratio	10.2x
Earnings	CN¥3.65b
Market Cap	CN¥37.17b

002532 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	1.6x
Enterprise Value/EBITDA	7x
PEG Ratio	0.8x

Price to Earnings Ratio vs Peers

How does 002532's PE Ratio compare to its peers?

The above table shows the PE ratio for 002532 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	32.6x
600219 Shandong Nanshan AluminiumLtd	9.5x	2.4%	CN¥45.9b
000807 Yunnan Aluminium	8.8x	8.5%	CN¥46.5b
600673 Guangdong HEC Technology Holding	101.5x	54.5%	CN¥24.3b
601677 Henan Mingtai Al.IndustrialLtd	10.5x	12.7%	CN¥15.1b
002532 Tianshan Aluminum GroupLtd	10.2x	13.0%	CN¥37.2b

Price-To-Earnings vs Peers: 002532 is good value based on its Price-To-Earnings Ratio (10.2x) compared to the peer average (32.6x).

Price to Earnings Ratio vs Industry

How does 002532's PE Ratio compare vs other companies in the CN Metals and Mining Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
600117 Xining Special Steel.Co.Ltd	3.4x	n/a	US$1.16b

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: 002532 is good value based on its Price-To-Earnings Ratio (10.2x) compared to the CN Metals and Mining industry average (27.6x).

Price to Earnings Ratio vs Fair Ratio

What is 002532'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.

002532 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	10.2x
Fair PE Ratio	20.7x

Price-To-Earnings vs Fair Ratio: 002532 is good value based on its Price-To-Earnings Ratio (10.2x) 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: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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