Shandong Buchang Pharmaceuticals Co., Ltd.

SHSE:603858 Stock Report

Market Cap: CN¥17.6b

Shandong Buchang Pharmaceuticals Valuation

Is 603858 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 603858 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 603858 (CN¥16.47) is trading above our estimate of fair value (CN¥1.45)

Significantly Below Fair Value: 603858 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 603858?

Key metric: As 603858 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 603858. This is calculated by dividing 603858's market cap by their current revenue.
What is 603858's PS Ratio?
PS Ratio1.5x
SalesCN¥11.78b
Market CapCN¥17.55b

Price to Sales Ratio vs Peers

How does 603858's PS Ratio compare to its peers?

The above table shows the PS ratio for 603858 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.2x
600867 Tonghua Dongbao Pharmaceutical
6.7x24.4%CN¥16.3b
600420 Shanghai Shyndec Pharmaceutical
1.4x7.6%CN¥16.1b
002399 Shenzhen Hepalink Pharmaceutical Group
2.9x5.5%CN¥14.5b
600216 Zhejiang Medicine
1.7x9.5%CN¥15.3b
603858 Shandong Buchang Pharmaceuticals
1.5xn/aCN¥17.6b

Price-To-Sales vs Peers: 603858 is good value based on its Price-To-Sales Ratio (1.5x) compared to the peer average (3.2x).

Price to Sales Ratio vs Industry

How does 603858's PS Ratio compare vs other companies in the CN Pharmaceuticals Industry?

6 CompaniesPrice / SalesEstimated GrowthMarket Cap
600664 Harbin Pharmaceutical Group
0.6xn/aUS$1.28b
000411 Zhejiang Int'l GroupLtd
0.2xn/aUS$777.77m
000153 Anhui Fengyuan Pharmaceutical
0.7xn/aUS$410.69m
600781 FUREN Group PharmaceuticalLtd
0.3xn/aUS$66.91m
603858 1.5xIndustry Avg. 3.5xNo. of Companies35PS02.85.68.411.214+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 603858 is good value based on its Price-To-Sales Ratio (1.5x) compared to the CN Pharmaceuticals industry average (3.5x).

Price to Sales Ratio vs Fair Ratio

What is 603858's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

603858 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.5x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 603858's Price-To-Sales 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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