Shandong Chenming Paper Holdings Limited

SZSC:1812 Stock Report

Market Cap: HK$8.5b

Shandong Chenming Paper Holdings Valuation

Is 1812 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1812 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1812 (HK$1.66) is trading above our estimate of fair value (HK$1.09)

Significantly Below Fair Value: 1812 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1812?

Other financial metrics that can be useful for relative valuation.

1812 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA16.2x
PEG Ration/a

Price to Sales Ratio vs Peers

How does 1812's PS Ratio compare to its peers?

The above table shows the PS ratio for 1812 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average0.8x
2314 Lee & Man Paper Manufacturing
0.4x2.9%HK$10.3b
2689 Nine Dragons Paper (Holdings)
0.3x9.4%HK$16.0b
336 Huabao International Holdings
2.2xn/aHK$7.7b
297 Sinofert Holdings
0.3x11.4%HK$8.3b
1812 Shandong Chenming Paper Holdings
0.4x4.0%HK$7.7b

Price-To-Sales vs Peers: 1812 is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (0.8x).


Price to Earnings Ratio vs Industry

How does 1812's PE Ratio compare vs other companies in the Asian Forestry Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a34.2%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a34.2%
n/an/an/a
No more companies

Price-To-Sales vs Industry: 1812 is good value based on its Price-To-Sales Ratio (0.4x) compared to the Asian Forestry industry average (0.8x).


Price to Sales Ratio vs Fair Ratio

What is 1812's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1812 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.4x
Fair PS Ratio0.3x

Price-To-Sales vs Fair Ratio: 1812 is expensive based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (0.3x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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