Huitongda Network Co., Ltd.

SZSC:9878 Stock Report

Market Cap: HK$10.4b

Huitongda Network Valuation

Is 9878 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • 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 9878 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9878 (HK$18.82) is trading above our estimate of fair value (HK$6.88)

Significantly Below Fair Value: 9878 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 9878?

Key metric: As 9878 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 9878. This is calculated by dividing 9878's market cap by their current earnings.
What is 9878's PE Ratio?
PE Ratio29.6x
EarningsCN¥328.23m
Market CapCN¥9.71b

Price to Earnings Ratio vs Peers

How does 9878's PE Ratio compare to its peers?

The above table shows the PE ratio for 9878 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.6x
9930 Horizon Construction Development
4.3x14.6%HK$4.7b
1733 E-Commodities Holdings
1.8xn/aHK$3.8b
990 Theme International Holdings
8.4xn/aHK$5.7b
2098 Zall Smart Commerce Group
47.9xn/aHK$4.0b
9878 Huitongda Network
29.6x29.0%HK$10.4b

Price-To-Earnings vs Peers: 9878 is expensive based on its Price-To-Earnings Ratio (29.6x) compared to the peer average (15.5x).

Price to Earnings Ratio vs Industry

How does 9878's PE Ratio compare vs other companies in the HK Trade Distributors Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
1733 E-Commodities Holdings
1.8xn/aUS$485.12m
1001 Hong Kong Shanghai Alliance Holdings
2.2xn/aUS$22.49m
380 China Pipe Group
1.7xn/aUS$14.21m
1142 E&P Global Holdings
0.5xn/aUS$7.64m
9878 29.6xIndustry Avg. 10.4xNo. of Companies6PE01020304050+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 9878 is expensive based on its Price-To-Earnings Ratio (29.6x) compared to the Hong Kong Trade Distributors industry average (10.4x).

Price to Earnings Ratio vs Fair Ratio

What is 9878'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.

9878 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio29.6x
Fair PE Ratio9.7x

Price-To-Earnings vs Fair Ratio: 9878 is expensive based on its Price-To-Earnings Ratio (29.6x) compared to the estimated Fair Price-To-Earnings Ratio (9.7x).

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 9878 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$18.82
HK$34.15
+81.5%
21.3%HK$42.94HK$22.73n/a7
Nov ’25HK$19.20
HK$34.13
+77.7%
21.3%HK$42.85HK$22.68n/a7
Oct ’25HK$21.90
HK$36.76
+67.8%
24.0%HK$51.17HK$23.00n/a8
Sep ’25HK$20.25
HK$41.66
+105.7%
16.8%HK$54.88HK$35.69n/a7
Aug ’25HK$22.70
HK$41.66
+83.5%
16.8%HK$54.88HK$35.69n/a7
Jul ’25HK$25.90
HK$41.67
+60.9%
16.8%HK$54.89HK$35.70n/a7
Jun ’25HK$28.20
HK$42.85
+51.9%
16.7%HK$55.27HK$35.95n/a7
May ’25HK$28.75
HK$42.85
+49.0%
16.7%HK$55.27HK$35.95n/a7
Apr ’25HK$30.65
HK$43.81
+42.9%
18.2%HK$55.35HK$36.00n/a7
Mar ’25HK$27.95
HK$46.13
+65.0%
16.7%HK$56.19HK$37.49n/a6
Feb ’25HK$30.30
HK$46.13
+52.2%
16.7%HK$56.19HK$37.49n/a6
Jan ’25HK$30.40
HK$48.45
+59.4%
15.3%HK$55.94HK$37.32n/a5
Dec ’24HK$29.20
HK$48.45
+65.9%
15.3%HK$55.94HK$37.32n/a5
Nov ’24HK$30.30
HK$48.07
+58.6%
15.3%HK$55.47HK$37.01HK$19.205
Oct ’24HK$30.40
HK$48.07
+58.1%
15.3%HK$55.47HK$37.01HK$21.905
Sep ’24HK$29.65
HK$48.09
+62.2%
15.3%HK$55.47HK$37.01HK$20.255
Aug ’24HK$29.35
HK$51.38
+75.1%
13.3%HK$60.62HK$40.08HK$22.705
Jul ’24HK$31.65
HK$50.53
+59.7%
13.6%HK$60.17HK$39.78HK$25.905
Jun ’24HK$29.60
HK$52.25
+76.5%
13.5%HK$63.51HK$41.99HK$28.205
May ’24HK$32.70
HK$52.25
+59.8%
13.5%HK$63.51HK$41.99HK$28.755
Apr ’24HK$30.70
HK$55.16
+79.7%
11.6%HK$63.60HK$49.01HK$30.655
Mar ’24HK$34.15
HK$62.74
+83.7%
14.8%HK$76.17HK$49.99HK$27.955
Feb ’24HK$39.40
HK$65.29
+65.7%
11.4%HK$75.43HK$55.01HK$30.304
Jan ’24HK$40.40
HK$66.62
+64.9%
6.9%HK$73.00HK$61.52HK$30.404
Dec ’23HK$31.50
HK$66.85
+112.2%
6.0%HK$71.91HK$62.15HK$29.204
Nov ’23HK$29.80
HK$66.85
+124.3%
6.0%HK$71.91HK$62.15HK$30.304

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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