Bairong Inc.

SEHK:6608 Stock Report

Market Cap: HK$4.2b

Bairong Valuation

Is 6608 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 6608 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6608 (HK$9.24) is trading below our estimate of fair value (HK$16.06)

Significantly Below Fair Value: 6608 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6608?

Key metric: As 6608 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 6608. This is calculated by dividing 6608's market cap by their current earnings.
What is 6608's PE Ratio?
PE Ratio14.5x
EarningsCN¥275.16m
Market CapCN¥3.92b

Price to Earnings Ratio vs Peers

How does 6608's PE Ratio compare to its peers?

The above table shows the PE ratio for 6608 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average63.2x
9636 JF SmartInvest Holdings
197.7x134.4%HK$11.7b
1945 Zero2IPO Holdings
22.8xn/aHK$452.6m
8017 TradeGo FinTech
25.3xn/aHK$133.1m
1428 Bright Smart Securities & Commodities Group
6.9xn/aHK$3.9b
6608 Bairong
14.5x29.6%HK$4.2b

Price-To-Earnings vs Peers: 6608 is good value based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (63.2x).

Price to Earnings Ratio vs Industry

How does 6608's PE Ratio compare vs other companies in the HK Capital Markets Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
2799 China CITIC Financial Asset Management
4.2x-29.2%US$6.70b
8098 CL Group (Holdings)
3.7xn/aUS$10.18m
No more companies available in this PE range
6608 14.5xIndustry Avg. 18.5xNo. of Companies9PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 6608 is good value based on its Price-To-Earnings Ratio (14.5x) compared to the Hong Kong Capital Markets industry average (18.5x).

Price to Earnings Ratio vs Fair Ratio

What is 6608'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.

6608 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.5x
Fair PE Ratio10.5x

Price-To-Earnings vs Fair Ratio: 6608 is expensive based on its Price-To-Earnings Ratio (14.5x) compared to the estimated Fair Price-To-Earnings Ratio (10.5x).

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 6608 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$9.24
HK$13.65
+47.7%
12.8%HK$16.05HK$11.93n/a3
Nov ’25HK$9.68
HK$15.52
+60.3%
22.8%HK$21.05HK$11.95n/a4
Oct ’25HK$10.30
HK$15.59
+51.3%
20.3%HK$21.07HK$11.96n/a5
Sep ’25HK$8.22
HK$15.64
+90.3%
20.3%HK$21.15HK$12.01n/a5
Aug ’25HK$8.97
HK$18.35
+104.6%
8.5%HK$20.69HK$15.51n/a6
Jul ’25HK$8.90
HK$18.35
+106.2%
8.5%HK$20.69HK$15.51n/a6
Jun ’25HK$9.07
HK$18.70
+106.1%
5.8%HK$20.75HK$17.30n/a6
May ’25HK$9.83
HK$18.37
+86.8%
7.2%HK$20.80HK$16.29n/a7
Apr ’25HK$11.08
HK$18.38
+65.9%
7.2%HK$20.82HK$16.30n/a7
Mar ’25HK$13.70
HK$19.21
+40.2%
12.6%HK$24.56HK$16.46n/a7
Feb ’25HK$11.86
HK$19.21
+62.0%
12.6%HK$24.56HK$16.46n/a7
Jan ’25HK$13.52
HK$18.92
+39.9%
13.9%HK$24.49HK$16.07n/a7
Dec ’24HK$13.22
HK$18.92
+43.1%
13.9%HK$24.49HK$16.07n/a7
Nov ’24HK$9.67
HK$17.87
+84.8%
11.9%HK$21.15HK$15.70HK$9.686
Oct ’24HK$10.16
HK$18.28
+79.9%
11.9%HK$21.22HK$15.75HK$10.305
Sep ’24HK$9.61
HK$19.27
+100.5%
16.0%HK$23.69HK$15.80HK$8.225
Aug ’24HK$9.76
HK$18.44
+89.0%
19.1%HK$23.99HK$14.21HK$8.975
Jul ’24HK$9.28
HK$18.50
+99.3%
17.5%HK$23.25HK$14.42HK$8.905
Jun ’24HK$9.74
HK$18.50
+89.9%
17.5%HK$23.25HK$14.42HK$9.075
May ’24HK$10.80
HK$18.96
+75.6%
17.4%HK$23.98HK$14.87HK$9.835
Apr ’24HK$12.42
HK$17.54
+41.2%
25.2%HK$24.00HK$10.33HK$11.086
Mar ’24HK$11.36
HK$16.38
+44.2%
24.4%HK$20.54HK$10.30HK$13.705
Feb ’24HK$12.24
HK$14.00
+14.4%
29.0%HK$20.81HK$10.44HK$11.864
Jan ’24HK$10.64
HK$13.88
+30.4%
31.5%HK$20.00HK$10.03HK$13.523
Dec ’23HK$8.85
HK$13.54
+53.0%
29.8%HK$19.18HK$9.94HK$13.223
Nov ’23HK$7.82
HK$14.27
+82.4%
26.5%HK$19.11HK$9.90HK$9.673

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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