Shandong Lukang Pharmaceutical Co.,Ltd.

SHSE:600789 Stock Report

Market Cap: CN¥6.4b

Shandong Lukang PharmaceuticalLtd Valuation

Is 600789 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 600789 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 600789 (CN¥7.14) is trading below our estimate of fair value (CN¥17.79)

Significantly Below Fair Value: 600789 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 600789?

Other financial metrics that can be useful for relative valuation.

600789 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/Revenue1.3x
Enterprise Value/EBITDA13x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does 600789's PE Ratio compare to its peers?

The above table shows the PE ratio for 600789 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.6x
000411 Zhejiang Int'l GroupLtd
10.9xn/aCN¥5.8b
603998 Hunan Fangsheng Pharmaceutical
30.9x24.6%CN¥5.2b
300401 Zhejiang Garden BiopharmaceuticalLtd
26.6xn/aCN¥6.2b
688356 Jenkem Technology
53.9x45.5%CN¥4.9b
600789 Shandong Lukang PharmaceuticalLtd
23.9xn/aCN¥6.4b

Price-To-Earnings vs Peers: 600789 is good value based on its Price-To-Earnings Ratio (23.9x) compared to the peer average (30.6x).


Price to Earnings Ratio vs Industry

How does 600789's PE Ratio compare vs other companies in the CN Pharmaceuticals Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.3%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a18.3%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: 600789 is good value based on its Price-To-Earnings Ratio (23.9x) compared to the CN Pharmaceuticals industry average (31.7x).


Price to Earnings Ratio vs Fair Ratio

What is 600789'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.

600789 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio23.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 600789's Price-To-Earnings 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.


Discover undervalued companies

Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.