Hexing Electrical Co.,Ltd.

XSSC:603556 Stock Report

Market Cap: CN¥18.6b

Hexing ElectricalLtd Valuation

Is 603556 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • 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 603556 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 603556 (CN¥38.33) is trading below our estimate of fair value (CN¥48.04)

Significantly Below Fair Value: 603556 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 603556?

Key metric: As 603556 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 603556. This is calculated by dividing 603556's market cap by their current earnings.
What is 603556's PE Ratio?
PE Ratio16.9x
EarningsCN¥1.11b
Market CapCN¥18.64b

Price to Earnings Ratio vs Peers

How does 603556's PE Ratio compare to its peers?

The above table shows the PE ratio for 603556 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43.7x
603025 Beijing Dahao TechnologyLtd
25.7xn/aCN¥15.6b
301589 Xi'an NovaStar Tech
26.1x35.3%CN¥16.9b
688100 Willfar Information Technology
31.2x22.2%CN¥18.8b
688582 Anhui XDLK Microsystem
91.8x35.5%CN¥19.0b
603556 Hexing ElectricalLtd
16.9x20.0%CN¥18.6b

Price-To-Earnings vs Peers: 603556 is good value based on its Price-To-Earnings Ratio (16.9x) compared to the peer average (43.7x).

Price to Earnings Ratio vs Industry

How does 603556's PE Ratio compare vs other companies in the CN Electronic Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
603556 16.9xIndustry Avg. 47.7xNo. of Companies30PE020406080100+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 603556 is good value based on its Price-To-Earnings Ratio (16.9x) compared to the CN Electronic industry average (47.7x).

Price to Earnings Ratio vs Fair Ratio

What is 603556'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.

603556 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.9x
Fair PE Ratio28.9x

Price-To-Earnings vs Fair Ratio: 603556 is good value based on its Price-To-Earnings Ratio (16.9x) compared to the estimated Fair Price-To-Earnings Ratio (28.9x).

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 603556 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCN¥38.33
CN¥50.84
+32.6%
7.0%CN¥56.00CN¥47.00n/a5
Nov ’25CN¥38.36
CN¥50.84
+32.5%
7.0%CN¥56.00CN¥47.00n/a5
Oct ’25CN¥47.65
CN¥52.44
+10.1%
7.9%CN¥57.00CN¥47.00n/a5
Sep ’25CN¥46.23
CN¥52.44
+13.4%
7.9%CN¥57.00CN¥47.00n/a5
Aug ’25CN¥41.71
CN¥49.64
+19.0%
10.1%CN¥57.00CN¥45.00n/a5
Jul ’25CN¥45.40
CN¥49.64
+9.3%
10.1%CN¥57.00CN¥45.00n/a5
Jun ’25CN¥47.17
CN¥47.80
+1.3%
7.9%CN¥54.21CN¥45.00n/a4
May ’25CN¥45.68
CN¥47.80
+4.6%
7.9%CN¥54.21CN¥45.00n/a4
Apr ’25CN¥36.47
CN¥34.38
-5.7%
6.9%CN¥38.00CN¥32.24n/a4
Mar ’25CN¥35.60
CN¥34.38
-3.4%
6.9%CN¥38.00CN¥32.24n/a4
Feb ’25CN¥28.71
CN¥33.17
+15.5%
3.9%CN¥35.00CN¥32.24n/a3
Jan ’25CN¥29.03
CN¥32.25
+11.1%
0.03%CN¥32.26CN¥32.24n/a2
Dec ’24CN¥26.00
CN¥32.25
+24.0%
0.03%CN¥32.26CN¥32.24n/a2
Nov ’24CN¥22.86
CN¥32.25
+41.1%
0.03%CN¥32.26CN¥32.24CN¥38.362
Oct ’24CN¥26.67
CN¥30.57
+14.6%
7.8%CN¥32.26CN¥27.20CN¥47.653
Sep ’24CN¥25.57
CN¥30.57
+19.5%
7.8%CN¥32.26CN¥27.20CN¥46.233
Aug ’24CN¥26.23
CN¥30.57
+16.5%
7.8%CN¥32.26CN¥27.20CN¥41.713

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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