Board Change • Jun 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Independent Director Shanqiang Jiang was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Declared Dividend • May 17
Dividend of CN¥0.04 announced Shareholders will receive a dividend of CN¥0.04. Ex-date: 20th May 2026 Payment date: 20th May 2026 Dividend yield will be 0.06%, which is lower than the industry average of 1.3%. Major Estimate Revision • May 06
Consensus EPS estimates increase by 12% The consensus outlook for fiscal year 2026 has been updated. 2026 EPS estimate increased from CN¥2.22 to CN¥2.48. Revenue forecast steady at CN¥189.0b. Net income forecast to grow 54% next year vs 33% growth forecast for Tech industry in China. Consensus price target broadly unchanged at CN¥78.80. Share price was steady at CN¥73.22 over the past week. New Risk • Apr 30
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 45% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. This is currently the only risk that has been identified for the company. Major Estimate Revision • Apr 20
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from CN¥194.7b to CN¥188.6b. EPS estimate also fell from CN¥2.48 per share to CN¥2.22 per share. Net income forecast to grow 33% next year vs 34% growth forecast for Tech industry in China. Consensus price target up from CN¥75.94 to CN¥79.42. Share price rose 7.0% to CN¥73.12 over the past week. Announcement • Apr 13
Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, May 08, 2026 Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, May 08, 2026, at 14:30 China Standard Time. Location: East Side, 1F, Building 1, Yard No. 15, Lingxiao Road, Haidian District, Beijing China Reported Earnings • Apr 12
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: CN¥1.64 (up from CN¥1.56 in FY 2024). Revenue: CN¥164.8b (up 43% from FY 2024). Net income: CN¥2.41b (up 5.2% from FY 2024). Profit margin: 1.5% (down from 2.0% in FY 2024). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 5.8%. Earnings per share (EPS) missed analyst estimates by 11%. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 16% per year whereas the company’s share price has increased by 20% per year. Valuation Update With 7 Day Price Move • Apr 10
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥67.50, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 32x in the Tech industry in China. Total returns to shareholders of 75% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥64.28 per share. Announcement • Mar 31
Inspur Electronic Information Industry Co., Ltd. to Report Q1, 2026 Results on Apr 30, 2026 Inspur Electronic Information Industry Co., Ltd. announced that they will report Q1, 2026 results on Apr 30, 2026 Announcement • Dec 31
Inspur Electronic Information Industry Co., Ltd. to Report Fiscal Year 2025 Results on Apr 11, 2026 Inspur Electronic Information Industry Co., Ltd. announced that they will report fiscal year 2025 results on Apr 11, 2026 Reported Earnings • Oct 31
Third quarter 2025 earnings: EPS and revenues miss analyst expectations Third quarter 2025 results: EPS: CN¥0.46 (down from CN¥0.47 in 3Q 2024). Revenue: CN¥40.5b (down 1.4% from 3Q 2024). Net income: CN¥683.4m (down 2.0% from 3Q 2024). Profit margin: 1.7% (in line with 3Q 2024). Revenue missed analyst estimates by 11%. Earnings per share (EPS) also missed analyst estimates by 15%. Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has increased by 42% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Oct 04
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risks Share price has been volatile over the past 3 months (7.1% average weekly change). Profit margins are more than 30% lower than last year (1.6% net profit margin). Announcement • Sep 30
Inspur Electronic Information Industry Co., Ltd. to Report Q3, 2025 Results on Oct 31, 2025 Inspur Electronic Information Industry Co., Ltd. announced that they will report Q3, 2025 results on Oct 31, 2025 Valuation Update With 7 Day Price Move • Sep 25
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥76.05, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 38x in the Tech industry in China. Total returns to shareholders of 287% over the past three years. New Risk • Sep 20
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risk Profit margins are more than 30% lower than last year (1.6% net profit margin). Board Change • Aug 28
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Non-Employee Supervisor Ran Jin was the last director to join the board, commencing their role in 2025. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Aug 27
Second quarter 2025 earnings: EPS and revenues miss analyst expectations Second quarter 2025 results: EPS: CN¥0.23 (up from CN¥0.20 in 2Q 2024). Revenue: CN¥33.3b (up 36% from 2Q 2024). Net income: CN¥336.0m (up 16% from 2Q 2024). Profit margin: 1.0% (down from 1.2% in 2Q 2024). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 13%. Earnings per share (EPS) also missed analyst estimates by 53%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 42% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Aug 22
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥68.20, the stock trades at a forward P/E ratio of 33x. Average forward P/E is 40x in the Tech industry in China. Total returns to shareholders of 197% over the past three years. Announcement • Jul 02
Inspur Electronic Information Industry Co., Ltd. to Report First Half, 2025 Results on Aug 27, 2025 Inspur Electronic Information Industry Co., Ltd. announced that they will report first half, 2025 results on Aug 27, 2025 Announcement • Jun 25
Inspur Electronic Information Industry Co., Ltd. (SZSE:000977) announces an Equity Buyback for CNY 300 million worth of its shares. Inspur Electronic Information Industry Co., Ltd. (SZSE:000977) announces a share repurchase program. Under the program, the company will repurchase up to CNY 300 million worth of its A shares. The shares will be repurchased at a price not more than CNY 75.59 per share. The source of funds for this share repurchase is the company's own funds and self-raised funds. The shares repurchased will be used to decrease the company’s registered capital. The program is subject to approval of company's shareholders. The program will be valid for a period of 12 months from shareholders approval at Extraordinary General Meeting to be held on July 9, 2025. Announcement • May 22
Inspur Electronic Information Industry Co., Ltd. Announces Final Cash Dividend on A Shares for 2024, Payable on 23 May 2025 Inspur Electronic Information Industry Co., Ltd. announced 2024 final profit distribution plan to be implemented (A shares): Cash dividend/10 shares (tax included): CNY 1.15000000. Record date: 22 May 2025. Ex-date:23 May 2025. Payment date: 23 May 2025. Major Estimate Revision • May 06
Consensus revenue estimates increase by 14% The consensus outlook for revenues in fiscal year 2025 has improved. 2025 revenue forecast increased from CN¥143.3b to CN¥163.4b. EPS estimate increased from CN¥1.90 to CN¥1.99 per share. Net income forecast to grow 25% next year vs 45% growth forecast for Tech industry in China. Consensus price target broadly unchanged at CN¥61.33. Share price rose 4.5% to CN¥50.85 over the past week. New Risk • Apr 30
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 1.7% Last year net profit margin: 2.6% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. This is currently the only risk that has been identified for the company. Price Target Changed • Apr 16
Price target increased by 8.0% to CN¥61.74 Up from CN¥57.18, the current price target is an average from 8 analysts. New target price is 31% above last closing price of CN¥47.19. Stock is up 23% over the past year. The company is forecast to post earnings per share of CN¥1.88 for next year compared to CN¥1.56 last year. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥44.63, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 27x in the Tech industry in China. Total returns to shareholders of 65% over the past three years. Major Estimate Revision • Apr 04
Consensus revenue estimates increase by 26% The consensus outlook for revenues in fiscal year 2025 has improved. 2025 revenue forecast increased from CN¥119.9b to CN¥151.0b. EPS estimate increased from CN¥1.92 to CN¥2.01 per share. Net income forecast to grow 29% next year vs 34% growth forecast for Tech industry in China. Consensus price target up from CN¥57.18 to CN¥60.12. Share price fell 2.5% to CN¥52.20 over the past week. Announcement • Apr 01
Inspur Electronic Information Industry Co., Ltd. Proposes Final Cash Dividend for the Year 2024 Inspur Electronic Information Industry Co., Ltd. announced on 31 March 2025 the profit distribution proposal for the year 2024 as final cash dividend/10 shares (tax included) of CNY 1.15000000. Announcement • Mar 31
Inspur Electronic Information Industry Co., Ltd. to Report Q1, 2025 Results on Apr 30, 2025 Inspur Electronic Information Industry Co., Ltd. announced that they will report Q1, 2025 results on Apr 30, 2025 Reported Earnings • Mar 30
Full year 2024 earnings: EPS and revenues exceed analyst expectations Full year 2024 results: EPS: CN¥1.56 (up from CN¥1.18 in FY 2023). Revenue: CN¥114.8b (up 74% from FY 2023). Net income: CN¥2.29b (up 28% from FY 2023). Profit margin: 2.0% (down from 2.7% in FY 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 9.5%. Earnings per share (EPS) also surpassed analyst estimates by 5.0%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 25% per year, which means it is well ahead of earnings. Announcement • Mar 29
Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, Apr 29, 2025 Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, Apr 29, 2025, at 15:00 China Standard Time. Location: 1F, Building 1, Yard No. 1, No. 15, Lingxiao Road, Haidian District, Beijing China New Risk • Feb 28
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 8.2% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (20% accrual ratio). Minor Risk Share price has been volatile over the past 3 months (8.2% average weekly change). Valuation Update With 7 Day Price Move • Feb 07
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥60.28, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 32x in the Tech industry in China. Total returns to shareholders of 94% over the past three years. Announcement • Dec 31
Inspur Electronic Information Industry Co., Ltd. to Report Fiscal Year 2024 Results on Mar 29, 2025 Inspur Electronic Information Industry Co., Ltd. announced that they will report fiscal year 2024 results on Mar 29, 2025 Announcement • Dec 26
Inspur Electronic Information Industry Co., Ltd. Approves Cash Dividend for the Third Quarter of 2024 Inspur Electronic Information Industry Co., Ltd. at its EGM held on December 23, 2024 approved cash dividend of CNY 0.45 per 10 shares for the third quarter of 2024. Valuation Update With 7 Day Price Move • Dec 24
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥53.88, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 33x in the Tech industry in China. Total returns to shareholders of 52% over the past three years. Valuation Update With 7 Day Price Move • Nov 08
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥51.71, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 28x in the Tech industry in China. Total returns to shareholders of 67% over the past three years. Price Target Changed • Nov 07
Price target increased by 9.6% to CN¥42.84 Up from CN¥39.08, the current price target is an average from 8 analysts. New target price is 8.9% below last closing price of CN¥47.01. Stock is up 34% over the past year. The company is forecast to post earnings per share of CN¥1.47 for next year compared to CN¥1.18 last year. Major Estimate Revision • Nov 06
Consensus revenue estimates increase by 26%, EPS downgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from CN¥83.2b to CN¥105.0b. EPS estimate fell from CN¥1.50 to CN¥1.45. Net income forecast to grow 8.4% next year vs 37% growth forecast for Tech industry in China. Consensus price target up from CN¥39.08 to CN¥41.22. Share price rose 3.5% to CN¥46.40 over the past week. New Risk • Nov 02
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (20% accrual ratio). Reported Earnings • Oct 31
Third quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2024 results: EPS: CN¥0.47 (up from CN¥0.26 in 3Q 2023). Revenue: CN¥41.1b (up 76% from 3Q 2023). Net income: CN¥697.3m (up 51% from 3Q 2023). Profit margin: 1.7% (down from 2.0% in 3Q 2023). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 24%. Earnings per share (EPS) missed analyst estimates by 17%. Revenue is forecast to grow 7.2% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Announcement • Sep 30
Inspur Electronic Information Industry Co., Ltd. to Report Q3, 2024 Results on Oct 31, 2024 Inspur Electronic Information Industry Co., Ltd. announced that they will report Q3, 2024 results on Oct 31, 2024 Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥37.73, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 21x in the Tech industry in China. Total returns to shareholders of 34% over the past three years. Price Target Changed • Sep 09
Price target decreased by 7.6% to CN¥38.58 Down from CN¥41.76, the current price target is an average from 8 analysts. New target price is 24% above last closing price of CN¥31.02. Stock is down 18% over the past year. The company is forecast to post earnings per share of CN¥1.46 for next year compared to CN¥1.18 last year. Reported Earnings • Aug 24
Second quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Second quarter 2024 results: EPS: CN¥0.20 (up from CN¥0.079 in 2Q 2023). Revenue: CN¥24.5b (up 59% from 2Q 2023). Net income: CN¥290.6m (up 153% from 2Q 2023). Profit margin: 1.2% (up from 0.7% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 52%. Earnings per share (EPS) missed analyst estimates by 26%. Revenue is forecast to grow 9.2% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Announcement • Jun 29
Inspur Electronic Information Industry Co., Ltd. to Report First Half, 2024 Results on Aug 24, 2024 Inspur Electronic Information Industry Co., Ltd. announced that they will report first half, 2024 results on Aug 24, 2024 Price Target Changed • May 01
Price target increased by 7.5% to CN¥42.30 Up from CN¥39.33, the current price target is an average from 7 analysts. New target price is approximately in line with last closing price of CN¥40.91. Stock is down 0.5% over the past year. The company is forecast to post earnings per share of CN¥1.44 for next year compared to CN¥1.18 last year. Announcement • Apr 21
Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, May 10, 2024 Inspur Electronic Information Industry Co., Ltd., Annual General Meeting, May 10, 2024, at 15:00 China Standard Time. Reported Earnings • Apr 20
Full year 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2023 results: EPS: CN¥1.18 (down from CN¥1.39 in FY 2022). Revenue: CN¥65.9b (down 5.3% from FY 2022). Net income: CN¥1.78b (down 14% from FY 2022). Profit margin: 2.7% (down from 3.0% in FY 2022). Revenue missed analyst estimates by 5.3%. Earnings per share (EPS) exceeded analyst estimates by 5.8%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Announcement • Mar 30
Inspur Electronic Information Industry Co., Ltd. to Report Q1, 2024 Results on Apr 30, 2024 Inspur Electronic Information Industry Co., Ltd. announced that they will report Q1, 2024 results on Apr 30, 2024 Buy Or Sell Opportunity • Mar 25
Now 20% undervalued Over the last 90 days, the stock has risen 27% to CN¥40.26. The fair value is estimated to be CN¥50.40, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 2.5%. Revenue is forecast to grow by 38% in 2 years. Earnings are forecast to grow by 111% in the next 2 years. Valuation Update With 7 Day Price Move • Mar 01
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to CN¥41.13, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 25x in the Tech industry in China. Total returns to shareholders of 30% over the past three years. Announcement • Dec 29
Inspur Electronic Information Industry Co., Ltd. to Report Fiscal Year 2023 Results on Apr 20, 2024 Inspur Electronic Information Industry Co., Ltd. announced that they will report fiscal year 2023 results on Apr 20, 2024 Price Target Changed • Dec 21
Price target decreased by 12% to CN¥35.94 Down from CN¥40.63, the current price target is an average from 8 analysts. New target price is 6.6% above last closing price of CN¥33.71. Stock is up 59% over the past year. The company is forecast to post earnings per share of CN¥1.15 for next year compared to CN¥1.39 last year. New Risk • Nov 11
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 16% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (16% operating cash flow to total debt). Minor Risks Share price has been volatile over the past 3 months (8.1% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (2.0% net profit margin). Valuation Update With 7 Day Price Move • Nov 09
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥35.00, the stock trades at a forward P/E ratio of 21x. Average forward P/E is 23x in the Tech industry in China. Total returns to shareholders of 21% over the past three years. Reported Earnings • Nov 01
Third quarter 2023 earnings: EPS misses analyst expectations Third quarter 2023 results: EPS: CN¥0.26 (down from CN¥0.41 in 3Q 2022). Revenue: CN¥23.3b (up 30% from 3Q 2022). Net income: CN¥461.3m (down 22% from 3Q 2022). Profit margin: 2.0% (down from 3.3% in 3Q 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 33%. Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 3% per year whereas the company’s share price has increased by 2% per year. Valuation Update With 7 Day Price Move • Oct 18
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥30.87, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 23x in the Tech industry in China. Total loss to shareholders of 1.3% over the past three years. Announcement • Sep 14
Inspur Electronic Information Industry Co., Ltd. Approves Director Appointments Inspur Electronic Information Industry Co., Ltd. at its Extraordinary General Meeting of 2023 on 11 September 2023 approved Liu Yaohui as a non-independent director and Wang Guanhua as a non-employee supervisor. Major Estimate Revision • Sep 01
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥78.6b to CN¥77.1b. EPS estimate also fell from CN¥1.71 per share to CN¥1.47 per share. Net income forecast to grow 87% next year vs 74% growth forecast for Tech industry in China. Consensus price target down from CN¥41.87 to CN¥40.87. Share price rose 3.1% to CN¥38.60 over the past week. Reported Earnings • Aug 26
Second quarter 2023 earnings: EPS and revenues miss analyst expectations Second quarter 2023 results: EPS: CN¥0.079 (down from CN¥0.43 in 2Q 2022). Revenue: CN¥15.4b (down 12% from 2Q 2022). Net income: CN¥115.0m (down 82% from 2Q 2022). Profit margin: 0.7% (down from 3.5% in 2Q 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 18%. Earnings per share (EPS) also missed analyst estimates by 70%. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jul 12
Now 27% undervalued Over the last 90 days, the stock is up 4.2%. The fair value is estimated to be CN¥56.57, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.1% over the last 3 years. Earnings per share has grown by 21%. Revenue is forecast to grow by 53% in 2 years. Earnings is forecast to grow by 73% in the next 2 years. Valuation Update With 7 Day Price Move • Jul 01
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to CN¥48.50, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 26x in the Tech industry in China. Total returns to shareholders of 29% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥57.01 per share. Upcoming Dividend • Jun 21
Upcoming dividend of CN¥0.15 per share at 0.2% yield Eligible shareholders must have bought the stock before 28 June 2023. Payment date: 28 June 2023. Payout ratio is a comfortable 11% and this is well supported by cash flows. Trailing yield: 0.2%. Lower than top quartile of Chinese dividend payers (2.0%). Lower than average of industry peers (0.7%). Valuation Update With 7 Day Price Move • Jun 14
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥49.12, the stock trades at a forward P/E ratio of 26x. Average forward P/E is 26x in the Tech industry in China. Total returns to shareholders of 28% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥50.94 per share. Valuation Update With 7 Day Price Move • May 30
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥43.78, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 22x in the Tech industry in China. Total returns to shareholders of 9.1% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥49.74 per share. Buying Opportunity • May 23
Now 24% undervalued after recent price drop Over the last 90 days, the stock is down 1.6%. The fair value is estimated to be CN¥49.33, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.1% over the last 3 years. Earnings per share has grown by 21%. Revenue is forecast to grow by 55% in 2 years. Earnings is forecast to grow by 64% in the next 2 years. Price Target Changed • May 16
Price target increased by 7.7% to CN¥37.90 Up from CN¥35.18, the current price target is an average from 10 analysts. New target price is 7.2% above last closing price of CN¥35.36. Stock is up 43% over the past year. The company is forecast to post earnings per share of CN¥1.68 for next year compared to CN¥1.39 last year. Valuation Update With 7 Day Price Move • May 11
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥35.34, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 21x in the Tech industry in China. Total loss to shareholders of 15% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥49.21 per share. Buying Opportunity • Apr 26
Now 22% undervalued Over the last 90 days, the stock is up 84%. The fair value is estimated to be CN¥56.35, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% over the last 3 years. Earnings per share has grown by 26%. For the next 3 years, revenue is forecast to grow by 15% per annum. Earnings is also forecast to grow by 20% per annum over the same time period. Price Target Changed • Apr 13
Price target increased by 9.5% to CN¥33.83 Up from CN¥30.88, the current price target is an average from 9 analysts. New target price is 14% below last closing price of CN¥39.54. Stock is up 46% over the past year. The company is forecast to post earnings per share of CN¥1.59 for next year compared to CN¥1.39 last year. Reported Earnings • Apr 13
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: CN¥1.39 (up from CN¥1.38 in FY 2021). Revenue: CN¥69.5b (up 3.7% from FY 2021). Net income: CN¥2.08b (up 3.9% from FY 2021). Profit margin: 3.0% (in line with FY 2021). Revenue missed analyst estimates by 6.1%. Earnings per share (EPS) also missed analyst estimates by 11%. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Apr 12
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to CN¥43.87, the stock trades at a forward P/E ratio of 25x. Average forward P/E is 28x in the Tech industry in China. Total returns to shareholders of 22% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥52.28 per share. Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to CN¥40.20, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 29x in the Tech industry in China. Total returns to shareholders of 6.4% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥52.03 per share. Buying Opportunity • Mar 03
Now 27% undervalued Over the last 90 days, the stock is up 69%. The fair value is estimated to be CN¥53.51, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 30%. Revenue is forecast to grow by 24% in 2 years. Earnings is forecast to grow by 44% in the next 2 years. Valuation Update With 7 Day Price Move • Mar 02
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥43.15, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 28x in the Tech industry in China. Total returns to shareholders of 5.4% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥53.52 per share. Price Target Changed • Feb 16
Price target increased by 15% to CN¥32.79 Up from CN¥28.53, the current price target is an average from 10 analysts. New target price is 14% below last closing price of CN¥38.00. Stock is up 21% over the past year. The company is forecast to post earnings per share of CN¥1.53 for next year compared to CN¥1.38 last year. Valuation Update With 7 Day Price Move • Feb 09
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to CN¥29.67, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 25x in the Tech industry in China. Total loss to shareholders of 32% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at CN¥48.89 per share. Announcement • Dec 09
Inspur Electronic Information Industry Co., Ltd. (SZSE:000977) acquired Beijing Tuan Century Technology Co., Ltd. Inspur Electronic Information Industry Co., Ltd. (SZSE:000977) acquired Beijing Tuan Century Technology Co., Ltd. on November 10, 2022.Inspur Electronic Information Industry Co., Ltd. (SZSE:000977) completed the acquisition of Beijing Tuan Century Technology Co., Ltd. on November 10, 2022. Reported Earnings • Oct 31
Third quarter 2022 earnings: EPS exceeds analyst expectations Third quarter 2022 results: EPS: CN¥0.41 (up from CN¥0.38 in 3Q 2021). Revenue: CN¥17.9b (up 1.3% from 3Q 2021). Net income: CN¥591.9m (up 8.1% from 3Q 2021). Profit margin: 3.3% (up from 3.1% in 3Q 2021). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 23%. Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Tech industry in China. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings.