Health and Happiness (H&H) International Holdings Limited

SHSC:1112 Stock Report

Market Cap: HK$5.9b

Health and Happiness (H&H) International Holdings Valuation

Is 1112 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 1112 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1112 (HK$9.15) is trading below our estimate of fair value (HK$43.67)

Significantly Below Fair Value: 1112 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1112?

Key metric: As 1112 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1112. This is calculated by dividing 1112's market cap by their current earnings.
What is 1112's PE Ratio?
PE Ratio19.7x
EarningsCN¥279.63m
Market CapCN¥5.50b

Price to Earnings Ratio vs Peers

How does 1112's PE Ratio compare to its peers?

The above table shows the PE ratio for 1112 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average38.7x
2218 Yantai North Andre JuiceLtd
10.7xn/aHK$8.3b
1497 Xiamen Yan Palace Bird's Nest Industry
29.4x23.8%HK$4.9b
1475 Nissin Foods
14.7x7.5%HK$4.8b
9676 Shiyue Daotian Group
99.9xn/aHK$8.1b
1112 Health and Happiness (H&H) International Holdings
19.7x39.0%HK$5.9b

Price-To-Earnings vs Peers: 1112 is good value based on its Price-To-Earnings Ratio (19.7x) compared to the peer average (38.7x).


Price to Earnings Ratio vs Industry

How does 1112's PE Ratio compare vs other companies in the HK Food Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
809 Global Bio-chem Technology Group
0.2xn/aUS$93.79m
3889 Global Sweeteners Holdings
2.4xn/aUS$28.17m
No more companies available in this PE range
1112 19.7xIndustry Avg. 14.0xNo. of Companies8PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1112 is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the Hong Kong Food industry average (14.2x).


Price to Earnings Ratio vs Fair Ratio

What is 1112'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.

1112 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.7x
Fair PE Ratio24.1x

Price-To-Earnings vs Fair Ratio: 1112 is good value based on its Price-To-Earnings Ratio (19.7x) compared to the estimated Fair Price-To-Earnings Ratio (24.1x).


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 1112 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$9.15
HK$10.98
+20.0%
10.9%HK$13.18HK$9.81n/a10
Nov ’25HK$10.22
HK$11.30
+10.5%
11.9%HK$13.47HK$10.02n/a10
Oct ’25HK$11.42
HK$11.29
-1.1%
13.1%HK$13.59HK$9.10n/a10
Sep ’25HK$8.33
HK$11.67
+40.0%
18.2%HK$16.77HK$9.04n/a10
Aug ’25HK$8.50
HK$12.99
+52.9%
13.1%HK$16.43HK$10.50n/a10
Jul ’25HK$8.94
HK$13.44
+50.3%
13.2%HK$16.39HK$10.42n/a10
Jun ’25HK$10.20
HK$14.36
+40.8%
19.2%HK$21.38HK$10.47n/a12
May ’25HK$10.22
HK$14.36
+40.5%
19.2%HK$21.38HK$10.47n/a12
Apr ’25HK$10.50
HK$14.58
+38.9%
18.7%HK$21.42HK$10.49n/a12
Mar ’25HK$11.66
HK$15.68
+34.5%
21.9%HK$26.05HK$11.54n/a13
Feb ’25HK$10.46
HK$15.68
+49.9%
21.9%HK$26.05HK$11.54n/a13
Jan ’25HK$12.10
HK$15.77
+30.3%
23.8%HK$26.23HK$10.81n/a13
Dec ’24HK$10.86
HK$15.75
+45.0%
23.6%HK$26.12HK$10.95n/a13
Nov ’24HK$10.64
HK$15.65
+47.1%
22.8%HK$25.62HK$10.74HK$10.2214
Oct ’24HK$9.72
HK$15.53
+59.8%
23.3%HK$25.64HK$10.75HK$11.4215
Sep ’24n/a
HK$15.33
0%
18.8%HK$21.14HK$10.83HK$8.3315
Aug ’24n/a
HK$15.86
0%
19.6%HK$21.74HK$10.97HK$8.5015
Jul ’24n/a
HK$16.26
0%
18.3%HK$21.65HK$10.93HK$8.9415
Jun ’24n/a
HK$16.50
0%
16.1%HK$22.13HK$12.60HK$10.2015
May ’24n/a
HK$16.87
0%
16.1%HK$22.67HK$12.90HK$10.2215
Apr ’24n/a
HK$16.35
0%
18.2%HK$22.83HK$11.90HK$10.5015
Mar ’24n/a
HK$17.95
0%
19.4%HK$24.15HK$12.35HK$11.6613
Feb ’24n/a
HK$18.39
0%
18.8%HK$24.58HK$12.56HK$10.4613
Jan ’24n/a
HK$14.41
0%
30.4%HK$23.64HK$10.25HK$12.1013
Dec ’23n/a
HK$13.77
0%
38.1%HK$26.89HK$9.23HK$10.8613
Nov ’23n/a
HK$14.03
0%
36.1%HK$26.98HK$9.40HK$10.6414

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


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