China New Town Development Company Limited

SEHK:1278 Stock Report

Market Cap: HK$641.9m

China New Town Development Valuation

Is 1278 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 1278 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate 1278's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 1278's fair value for valuation analysis.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1278?

Key metric: As 1278 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1278. This is calculated by dividing 1278's market cap by their current earnings.
What is 1278's PE Ratio?
PE Ratio4.3x
EarningsCN¥140.20m
Market CapCN¥597.50m

Price to Earnings Ratio vs Peers

How does 1278's PE Ratio compare to its peers?

The above table shows the PE ratio for 1278 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average49.2x
160 Hon Kwok Land Investment Company
189xn/aHK$864.5m
672 Zhong An Group
2xn/aHK$732.7m
3616 Ever Reach Group (Holdings)
1.6xn/aHK$312.0m
798 China Electronics Optics Valley Union Holding
3.9xn/aHK$1.9b
1278 China New Town Development
4.3xn/aHK$641.9m

Price-To-Earnings vs Peers: 1278 is good value based on its Price-To-Earnings Ratio (4.3x) compared to the peer average (49.2x).


Price to Earnings Ratio vs Industry

How does 1278's PE Ratio compare vs other companies in the HK Real Estate Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
29 Dynamic Holdings
0.3xn/aUS$226.58m
2768 Jiayuan International Group
1.4x31.6%US$151.18m
3883 China Aoyuan Group
0.06xn/aUS$138.60m
2117 Datang Group Holdings
1.2xn/aUS$87.18m
1278 4.3xIndustry Avg. 7.2xNo. of Companies15PE0612182430+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1278 is good value based on its Price-To-Earnings Ratio (4.3x) compared to the Hong Kong Real Estate industry average (7.2x).


Price to Earnings Ratio vs Fair Ratio

What is 1278'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.

1278 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 1278'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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