Suzhou TFC Optical Communication Co., Ltd.

SZSE:300394 Stock Report

Market Cap: CN¥62.4b

Suzhou TFC Optical Communication Valuation

Is 300394 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 300394 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 300394 (CN¥115.98) is trading below our estimate of fair value (CN¥145.57)

Significantly Below Fair Value: 300394 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 300394?

Key metric: As 300394 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 300394. This is calculated by dividing 300394's market cap by their current earnings.
What is 300394's PE Ratio?
PE Ratio50.7x
EarningsCN¥1.27b
Market CapCN¥62.43b

Price to Earnings Ratio vs Peers

How does 300394's PE Ratio compare to its peers?

The above table shows the PE ratio for 300394 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.7x
300628 Yealink Network Technology
19.9x17.3%CN¥48.1b
300308 Zhongji Innolight
32.2x32.6%CN¥145.8b
600487 Hengtong Optic-Electric
16x17.4%CN¥42.5b
301165 Ruijie Networks
54.8x21.5%CN¥28.8b
300394 Suzhou TFC Optical Communication
50.7x33.9%CN¥62.4b

Price-To-Earnings vs Peers: 300394 is expensive based on its Price-To-Earnings Ratio (50.7x) compared to the peer average (30.7x).

Price to Earnings Ratio vs Industry

How does 300394's PE Ratio compare vs other companies in the CN Communications Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
300394 50.7xIndustry Avg. 65.3xNo. of Companies7PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 300394 is good value based on its Price-To-Earnings Ratio (50.7x) compared to the CN Communications industry average (65.3x).

Price to Earnings Ratio vs Fair Ratio

What is 300394'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.

300394 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio50.7x
Fair PE Ratio51.3x

Price-To-Earnings vs Fair Ratio: 300394 is good value based on its Price-To-Earnings Ratio (50.7x) compared to the estimated Fair Price-To-Earnings Ratio (51.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 300394 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥115.98
CN¥142.00
+22.4%
14.5%CN¥180.00CN¥110.00n/a9
Nov ’25CN¥124.70
CN¥129.65
+4.0%
18.4%CN¥180.00CN¥95.00n/a9
Oct ’25CN¥100.50
CN¥108.11
+7.6%
16.2%CN¥140.00CN¥78.57n/a9
Sep ’25CN¥76.79
CN¥109.42
+42.5%
15.7%CN¥140.00CN¥78.57n/a7
Aug ’25CN¥100.56
CN¥107.65
+7.1%
23.4%CN¥140.00CN¥63.78n/a7
Jul ’25CN¥95.82
CN¥106.96
+11.6%
24.3%CN¥132.14CN¥63.78n/a6
Jun ’25CN¥88.56
CN¥106.96
+20.8%
24.3%CN¥132.14CN¥63.78n/a6
May ’25CN¥115.25
CN¥90.25
-21.7%
26.9%CN¥126.74CN¥56.43n/a6
Apr ’25CN¥116.60
CN¥76.75
-34.2%
12.8%CN¥87.94CN¥56.43n/a6
Mar ’25CN¥97.77
CN¥75.16
-23.1%
13.4%CN¥87.94CN¥56.43n/a6
Feb ’25CN¥70.25
CN¥73.84
+5.1%
15.1%CN¥87.94CN¥56.43n/a6
Jan ’25CN¥65.37
CN¥70.89
+8.4%
13.6%CN¥85.29CN¥56.43n/a6
Dec ’24CN¥54.77
CN¥69.64
+27.2%
16.0%CN¥85.29CN¥54.29n/a6
Nov ’24CN¥49.00
CN¥69.76
+42.4%
15.8%CN¥85.29CN¥54.29CN¥124.706
Oct ’24CN¥67.86
CN¥72.55
+6.9%
13.1%CN¥82.98CN¥57.14CN¥100.504
Sep ’24CN¥57.85
CN¥72.55
+25.4%
13.1%CN¥82.98CN¥57.14CN¥76.794
Aug ’24CN¥69.78
CN¥67.99
-2.6%
25.1%CN¥92.11CN¥54.71CN¥100.563
Jul ’24CN¥76.31
CN¥50.65
-33.6%
16.1%CN¥57.95CN¥39.29CN¥95.823
Jun ’24CN¥53.83
CN¥44.55
-17.2%
28.5%CN¥57.95CN¥26.25CN¥88.564
May ’24CN¥43.48
CN¥44.55
+2.5%
28.5%CN¥57.95CN¥26.25CN¥115.254
Apr ’24CN¥36.94
CN¥26.08
-29.4%
7.8%CN¥28.50CN¥22.86CN¥116.604
Mar ’24CN¥29.56
CN¥26.08
-11.8%
7.8%CN¥28.50CN¥22.86CN¥97.774
Feb ’24CN¥20.34
CN¥26.08
+28.2%
7.8%CN¥28.50CN¥22.86CN¥70.254
Jan ’24CN¥18.11
CN¥26.08
+44.0%
7.8%CN¥28.50CN¥22.86CN¥65.374
Dec ’23CN¥18.79
CN¥26.08
+38.8%
7.8%CN¥28.50CN¥22.86CN¥54.774
Nov ’23CN¥20.29
CN¥27.15
+33.8%
3.6%CN¥28.50CN¥26.25CN¥49.003

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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