Lee & Man Paper Manufacturing Limited

DB:LMP Stock Report

Market Cap: €1.2b

Lee & Man Paper Manufacturing Valuation

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

Valuation Score

3/6

Valuation Score 3/6

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

Below Fair Value: LMP (€0.25) is trading above our estimate of fair value (€0.19)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for LMP. This is calculated by dividing LMP's market cap by their current earnings.
What is LMP's PE Ratio?
PE Ratio6.6x
EarningsHK$1.50b
Market CapHK$9.92b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for LMP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average30.7x
SDF K+S
73.8x57.3%€1.9b
STO3 Sto SE KGaA
10.5x3.5%€695.3m
WCH Wacker Chemie
27x36.4%€3.4b
ACT AlzChem Group
11.6x12.8%€580.1m
LMP Lee & Man Paper Manufacturing
6.6x12.3%€9.9b

Price-To-Earnings vs Peers: LMP is good value based on its Price-To-Earnings Ratio (6.6x) compared to the peer average (30.7x).

Price to Earnings Ratio vs Industry

How does LMP's PE Ratio compare vs other companies in the European Forestry Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
LMP 6.6xIndustry Avg. 10.2xNo. of Companies9PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LMP is good value based on its Price-To-Earnings Ratio (6.6x) compared to the European Forestry industry average (10.2x).

Price to Earnings Ratio vs Fair Ratio

What is LMP'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.

LMP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.6x
Fair PE Ratio19.4x

Price-To-Earnings vs Fair Ratio: LMP is good value based on its Price-To-Earnings Ratio (6.6x) compared to the estimated Fair Price-To-Earnings Ratio (19.4x).

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 LMP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.25
€0.30
+21.8%
25.3%€0.40€0.22n/a3
Dec ’25€0.24
€0.30
+24.8%
25.3%€0.40€0.22n/a3
Nov ’25€0.24
€0.29
+20.9%
20.5%€0.39€0.21n/a5
Oct ’25€0.28
€0.32
+13.1%
33.3%€0.54€0.21n/a6
Sep ’25€0.21
€0.32
+49.1%
33.3%€0.54€0.21n/a6
Aug ’25€0.24
€0.36
+49.0%
27.0%€0.55€0.25n/a7
Jul ’25€0.23
€0.36
+55.3%
27.0%€0.55€0.25n/a7
Jun ’25€0.25
€0.36
+46.8%
26.4%€0.55€0.26n/a7
May ’25€0.24
€0.33
+38.8%
32.7%€0.55€0.21n/a8
Apr ’25€0.24
€0.34
+42.1%
30.3%€0.54€0.21n/a8
Mar ’25€0.22
€0.35
+56.2%
33.8%€0.54€0.21n/a7
Feb ’25€0.21
€0.35
+68.2%
30.6%€0.54€0.21n/a8
Jan ’25€0.22
€0.35
+54.8%
30.6%€0.53€0.21n/a8
Dec ’24€0.21
€0.36
+66.7%
28.9%€0.55€0.22€0.249
Nov ’24€0.23
€0.36
+55.1%
28.9%€0.55€0.22€0.249
Oct ’24€0.24
€0.37
+52.4%
24.9%€0.54€0.24€0.289
Sep ’24€0.23
€0.35
+51.3%
25.1%€0.53€0.24€0.2110
Aug ’24€0.27
€0.41
+53.7%
24.8%€0.61€0.28€0.2411
Jul ’24€0.27
€0.44
+64.7%
18.4%€0.61€0.32€0.2312
Jun ’24€0.28
€0.46
+65.1%
21.1%€0.67€0.31€0.2514
May ’24€0.35
€0.45
+29.8%
21.2%€0.67€0.31€0.2414
Apr ’24€0.33
€0.47
+42.6%
20.5%€0.70€0.32€0.2414
Mar ’24€0.37
€0.47
+28.0%
23.0%€0.72€0.32€0.2214
Feb ’24€0.37
€0.46
+24.3%
28.8%€0.80€0.29€0.2114
Jan ’24€0.37
€0.47
+25.6%
30.9%€0.82€0.29€0.2213
Dec ’23€0.33
€0.48
+44.2%
30.9%€0.84€0.30€0.2113

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 15:30
End of Day Share Price 2024/12/20 00:00
Earnings2024/06/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Lee & Man Paper Manufacturing Limited is covered by 29 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Xiao XingBOCI Research Ltd.
Yanlin ZhaoBofA Global Research
Edward LeungBofA Global Research