Shandong Weigao Group Medical Polymer Company Limited

DB:UK2 Stock Report

Market Cap: €2.6b

Shandong Weigao Group Medical Polymer Valuation

Is UK2 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 UK2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UK2 (€0.55) is trading below our estimate of fair value (€1.36)

Significantly Below Fair Value: UK2 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UK2?

Key metric: As UK2 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for UK2. This is calculated by dividing UK2's market cap by their current earnings.
What is UK2's PE Ratio?
PE Ratio10.3x
EarningsCN¥1.91b
Market CapCN¥19.66b

Price to Earnings Ratio vs Peers

How does UK2's PE Ratio compare to its peers?

The above table shows the PE ratio for UK2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.4x
PHH2 Paul Hartmann
11.9xn/a€699.7m
AFX Carl Zeiss Meditec
25.9x16.3%€5.3b
SYAB SYNLAB
28.4x-11.4%€2.5b
DRW3 Drägerwerk KGaA
7.3x2.0%€799.5m
UK2 Shandong Weigao Group Medical Polymer
10.3x10.3%€21.2b

Price-To-Earnings vs Peers: UK2 is good value based on its Price-To-Earnings Ratio (10.3x) compared to the peer average (18.4x).

Price to Earnings Ratio vs Industry

How does UK2's PE Ratio compare vs other companies in the European Medical Equipment Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
UK2 10.3xIndustry Avg. 29.9xNo. of Companies7PE01632486480+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: UK2 is good value based on its Price-To-Earnings Ratio (10.3x) compared to the European Medical Equipment industry average (30.1x).

Price to Earnings Ratio vs Fair Ratio

What is UK2'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.

UK2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.3x
Fair PE Ratio27.6x

Price-To-Earnings vs Fair Ratio: UK2 is good value based on its Price-To-Earnings Ratio (10.3x) compared to the estimated Fair Price-To-Earnings Ratio (27.6x).

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 UK2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.55
€0.79
+45.4%
13.0%€0.94€0.60n/a7
Nov ’25€0.56
€0.79
+41.3%
12.2%€0.94€0.61n/a8
Oct ’25€0.63
€0.79
+24.7%
13.0%€0.93€0.60n/a7
Sep ’25€0.49
€0.78
+58.2%
13.5%€0.94€0.59n/a7
Aug ’25€0.46
€0.82
+78.9%
12.5%€0.93€0.65n/a7
Jul ’25€0.43
€0.91
+110.1%
10.5%€1.04€0.76n/a7
Jun ’25€0.53
€0.91
+71.3%
10.5%€1.04€0.76n/a7
May ’25€0.60
€0.91
+50.0%
10.5%€1.04€0.76n/a7
Apr ’25€0.55
€1.12
+103.8%
33.8%€2.02€0.78n/a8
Mar ’25€0.56
€1.36
+140.7%
27.9%€2.05€0.89n/a8
Feb ’25€0.60
€1.38
+130.5%
24.4%€2.02€0.88n/a8
Jan ’25€0.83
€1.49
+79.3%
17.0%€2.01€1.17n/a8
Dec ’24€0.81
€1.49
+82.6%
17.0%€2.01€1.17n/a8
Nov ’24€0.85
€1.52
+79.3%
16.6%€2.04€1.19€0.568
Oct ’24€0.81
€1.52
+88.1%
16.6%€2.04€1.19€0.638
Sep ’24€0.88
€1.59
+81.9%
14.3%€2.02€1.18€0.499
Aug ’24€1.06
€1.74
+64.3%
7.2%€1.97€1.54€0.468
Jul ’24€1.15
€1.81
+57.2%
5.8%€2.04€1.69€0.437
Jun ’24€1.36
€1.79
+31.4%
6.5%€2.02€1.64€0.537
May ’24€1.49
€1.76
+18.2%
4.2%€1.86€1.65€0.607
Apr ’24€1.42
€1.76
+24.3%
3.8%€1.86€1.67€0.556
Mar ’24€1.49
€1.93
+29.4%
15.7%€2.58€1.68€0.566
Feb ’24€1.48
€1.75
+18.2%
23.2%€2.58€1.24€0.606
Jan ’24€1.49
€1.71
+14.7%
23.3%€2.58€1.28€0.837
Dec ’23€1.38
€1.71
+23.8%
23.3%€2.58€1.28€0.817
Nov ’23€1.35
€1.69
+25.5%
24.5%€2.65€1.26€0.858

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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