Modern Chinese Medicine Group Co., Ltd.

SEHK:1643 Stock Report

Market Cap: HK$267.0m

Modern Chinese Medicine Group Valuation

Is 1643 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-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 1643 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1643 (HK$0.42) is trading below our estimate of fair value (HK$2.7)

Significantly Below Fair Value: 1643 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1643?

Key metric: As 1643 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1643. This is calculated by dividing 1643's market cap by their current earnings.
What is 1643's PE Ratio?
PE Ratio16.1x
EarningsCN¥14.36m
Market CapCN¥248.62m

Price to Earnings Ratio vs Peers

How does 1643's PE Ratio compare to its peers?

The above table shows the PE ratio for 1643 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.5x
8329 Shenzhen Neptunus Interlong Bio-technique
6.7xn/aHK$233.2m
950 Lee's Pharmaceutical Holdings
11.4xn/aHK$724.3m
503 Lansen Pharmaceutical Holdings
13xn/aHK$750.6m
3737 Zhongzhi Pharmaceutical Holdings
6.9xn/aHK$777.2m
1643 Modern Chinese Medicine Group
16.1xn/aHK$267.0m

Price-To-Earnings vs Peers: 1643 is expensive based on its Price-To-Earnings Ratio (16.1x) compared to the peer average (9.5x).

Price to Earnings Ratio vs Industry

How does 1643's PE Ratio compare vs other companies in the HK Pharmaceuticals Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
1643 16.1xIndustry Avg. 8.3xNo. of Companies7PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1643 is expensive based on its Price-To-Earnings Ratio (16.1x) compared to the Hong Kong Pharmaceuticals industry average (8.3x).

Price to Earnings Ratio vs Fair Ratio

What is 1643'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.

1643 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 1643's Price-To-Earnings Fair Ratio for valuation analysis.

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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