Zhejiang Medicine Co., Ltd. produces and sells fat-soluble vitamins, quasi-vitamins, quinolone antibiotics, anti-drug-resistant antibiotics, and other products. More Details
Very undervalued with solid track record.
Share Price & News
How has Zhejiang Medicine's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 600216 is more volatile than 75% of CN stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: 600216's weekly volatility (8%) has been stable over the past year, but is still higher than 75% of CN stocks.
7 Day Return
1 Year Return
Return vs Industry: 600216 underperformed the CN Pharmaceuticals industry which returned 15.8% over the past year.
Return vs Market: 600216 underperformed the CN Market which returned 28.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Zhejiang Medicine's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Zhejiang Medicine undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 600216 (CN¥14.13) is trading below our estimate of fair value (CN¥18.68)
Significantly Below Fair Value: 600216 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 600216 is good value based on its PE Ratio (22.4x) compared to the CN Pharmaceuticals industry average (31.2x).
PE vs Market: 600216 is good value based on its PE Ratio (22.4x) compared to the CN market (33.9x).
Price to Earnings Growth Ratio
PEG Ratio: 600216 is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: 600216 is good value based on its PB Ratio (1.8x) compared to the CN Pharmaceuticals industry average (2.7x).
How is Zhejiang Medicine forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 600216's forecast earnings growth (28.5% per year) is above the savings rate (3.3%).
Earnings vs Market: 600216's earnings (28.5% per year) are forecast to grow faster than the CN market (23.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 600216's revenue (14.8% per year) is forecast to grow slower than the CN market (17.9% per year).
High Growth Revenue: 600216's revenue (14.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 600216's Return on Equity is forecast to be low in 3 years time (18.4%).
How has Zhejiang Medicine performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 600216 has high quality earnings.
Growing Profit Margin: 600216's current net profit margins (8.4%) are higher than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: 600216's earnings have grown by 11.3% per year over the past 5 years.
Accelerating Growth: 600216's earnings growth over the past year (185%) exceeds its 5-year average (11.3% per year).
Earnings vs Industry: 600216 earnings growth over the past year (185%) exceeded the Pharmaceuticals industry 10.8%.
Return on Equity
High ROE: 600216's Return on Equity (6.8%) is considered low.
How is Zhejiang Medicine's financial position?
Financial Position Analysis
Short Term Liabilities: 600216's short term assets (CN¥5.5B) exceed its short term liabilities (CN¥2.4B).
Long Term Liabilities: 600216's short term assets (CN¥5.5B) exceed its long term liabilities (CN¥543.0M).
Debt to Equity History and Analysis
Debt Level: 600216's debt to equity ratio (16.5%) is considered satisfactory.
Reducing Debt: 600216's debt to equity ratio has increased from 5.5% to 16.5% over the past 5 years.
Debt Coverage: 600216's debt is well covered by operating cash flow (65.5%).
Interest Coverage: 600216 earns more interest than it pays, so coverage of interest payments is not a concern.
What is Zhejiang Medicine current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 600216's dividend (7.08%) is higher than the bottom 25% of dividend payers in the CN market (0.43%).
High Dividend: 600216's dividend (7.08%) is in the top 25% of dividend payers in the CN market (1.81%)
Stability and Growth of Payments
Stable Dividend: 600216's dividend payments have been volatile in the past 10 years.
Growing Dividend: 600216's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (158.5%), 600216's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Chun Lu (53 yo)
Mr. Chun Lei Lu is President and Director of Zhejiang Medicine Co., Ltd. since June 15, 2018. Mr. Lu was Executive Vice President and General Manager of Changhai Biological Branch at Zhejiang Medicine Co.,...
Experienced Management: 600216's management team is considered experienced (2.8 years average tenure).
Experienced Board: 600216's board of directors are considered experienced (3.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Zhejiang Medicine Co., Ltd.'s company bio, employee growth, exchange listings and data sources
- Name: Zhejiang Medicine Co., Ltd.
- Ticker: 600216
- Exchange: SHSE
- Founded: 1954
- Industry: Pharmaceuticals
- Sector: Pharmaceuticals & Biotech
- Market Cap: CN¥13.541b
- Shares outstanding: 958.30m
- Website: https://www.china-zmc.com
Number of Employees
- Zhejiang Medicine Co., Ltd.
- 168 Mid Zhiyuan Avenue
- Binhai New Area
- Zhejiang Province
Zhejiang Medicine Co., Ltd. produces and sells fat-soluble vitamins, quasi-vitamins, quinolone antibiotics, anti-drug-resistant antibiotics, and other products. The company offers anti-infective drugs, glu...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/11 09:16|
|End of Day Share Price||2021/04/09 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.