Shandong Lukang Pharmaceutical Co.,Ltd.

SHSE:600789 Stock Report

Market Cap: CN¥7.6b

Shandong Lukang PharmaceuticalLtd Valuation

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

Below Fair Value: 600789 (CN¥8.49) is trading above our estimate of fair value (CN¥2.2)

Significantly Below Fair Value: 600789 is trading above our estimate of fair value.


Key Valuation Metric

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

Key metric: As 600789 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 600789. This is calculated by dividing 600789's market cap by their current earnings.
What is 600789's PE Ratio?
PE Ratio19x
EarningsCN¥400.68m
Market CapCN¥7.63b

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 Average22.1x
600557 Jiangsu Kanion PharmaceuticalLtd
14.9x19.0%CN¥8.1b
300725 PharmaBlock Sciences (Nanjing)
39x28.5%CN¥6.8b
300119 Tianjin Ringpu Bio-TechnologyLtd
20x18.3%CN¥8.5b
601089 Beijing Foyou PharmaLTD
14.4xn/aCN¥7.3b
600789 Shandong Lukang PharmaceuticalLtd
19xn/aCN¥7.6b

Price-To-Earnings vs Peers: 600789 is good value based on its Price-To-Earnings Ratio (19x) compared to the peer average (22.1x).


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
No more companies available in this PE range
600789 19.0xIndustry Avg. 31.1xNo. of Companies31PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 600789 is good value based on its Price-To-Earnings Ratio (19x) compared to the CN Pharmaceuticals industry average (31.1x).


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 Ratio19x
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.


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