Hua Hong Semiconductor Limited

SHSC:1347 Stock Report

Market Cap: HK$61.7b

Hua Hong Semiconductor Valuation

Is 1347 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • 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 1347 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
HK$40.05
Fair Value
21.9% undervalued intrinsic discount
18
Number of Analysts

Below Fair Value: 1347 (HK$31.3) is trading below our estimate of fair value (HK$40.05)

Significantly Below Fair Value: 1347 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1347?

Key metric: As 1347 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1347. This is calculated by dividing 1347's market cap by their current revenue.
What is 1347's PS Ratio?
PS Ratio3.3x
SalesUS$2.08b
Market CapUS$7.91b

Price to Sales Ratio vs Peers

How does 1347's PS Ratio compare to its peers?

The above table shows the PS ratio for 1347 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average17.5x
1385 Shanghai Fudan Microelectronics Group
5.6x10.44%HK$34.2b
2577 InnoScience (Suzhou) Technology Holding
35.8x37.39%HK$32.1b
981 Semiconductor Manufacturing International
5.1x11.61%HK$441.4b
2533 Black Sesame International Holding
23.5x44.43%HK$12.1b
1347 Hua Hong Semiconductor
3.3x13.70%HK$61.7b

Price-To-Sales vs Peers: 1347 is good value based on its Price-To-Sales Ratio (3.3x) compared to the peer average (17.5x).


Price to Sales Ratio vs Industry

How does 1347's PS Ratio compare vs other companies in the HK Semiconductor Industry?

7 CompaniesPrice / SalesEstimated GrowthMarket Cap
757 Solargiga Energy Holdings
0.06xn/aUS$30.24m
1305 Wai Chi Holdings
0.07xn/aUS$19.99m
8257 Genes Tech Group Holdings
0.2xn/aUS$7.56m
243 QPL International Holdings
0.2xn/aUS$5.99m
1347 3.3xIndustry Avg. 1.5xNo. of Companies7PS01.63.24.86.48+
7 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 1347 is expensive based on its Price-To-Sales Ratio (3.3x) compared to the Hong Kong Semiconductor industry average (1.5x).


Price to Sales Ratio vs Fair Ratio

What is 1347'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.

1347 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio3.3x
Fair PS Ratio2.4x

Price-To-Sales vs Fair Ratio: 1347 is expensive based on its Price-To-Sales Ratio (3.3x) compared to the estimated Fair Price-To-Sales Ratio (2.4x).


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 1347 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$31.30
HK$34.19
+9.23%
19.22%HK$44.63HK$20.04n/a18
May ’26HK$35.45
HK$31.95
-9.86%
23.28%HK$44.51HK$16.34n/a16
Apr ’26HK$30.45
HK$30.48
+0.10%
25.20%HK$43.99HK$16.38n/a15
Mar ’26HK$34.30
HK$27.51
-19.81%
23.66%HK$43.00HK$16.36n/a17
Feb ’26HK$22.85
HK$24.59
+7.64%
22.24%HK$31.97HK$16.41n/a16
Jan ’26HK$21.65
HK$24.57
+13.50%
22.24%HK$31.95HK$16.40n/a16
Dec ’25HK$20.55
HK$24.74
+20.41%
21.56%HK$32.00HK$16.42n/a17
Nov ’25HK$20.85
HK$21.96
+5.33%
23.61%HK$31.32HK$11.97n/a16
Oct ’25HK$20.90
HK$21.37
+2.25%
20.83%HK$29.95HK$11.99n/a16
Sep ’25HK$17.00
HK$21.58
+26.93%
21.31%HK$29.96HK$11.99n/a16
Aug ’25HK$20.55
HK$20.71
+0.76%
23.40%HK$30.01HK$11.99n/a15
Jul ’25HK$22.05
HK$20.71
-6.10%
23.42%HK$30.02HK$11.99n/a15
Jun ’25HK$19.40
HK$18.89
-2.63%
17.42%HK$24.00HK$12.00n/a15
May ’25HK$15.60
HK$17.78
+13.96%
25.34%HK$25.84HK$7.09HK$35.4515
Apr ’25HK$15.26
HK$18.06
+18.32%
24.41%HK$25.80HK$7.08HK$30.4515
Mar ’25HK$16.88
HK$18.16
+7.56%
24.87%HK$25.82HK$7.08HK$34.3015
Feb ’25HK$14.62
HK$19.74
+35.01%
25.09%HK$28.53HK$7.09HK$22.8516
Jan ’25HK$18.88
HK$21.78
+15.37%
36.35%HK$41.87HK$7.09HK$21.6517
Dec ’24HK$17.36
HK$23.89
+37.63%
38.92%HK$44.73HK$7.06HK$20.5518
Nov ’24HK$19.14
HK$29.19
+52.52%
29.89%HK$44.89HK$15.49HK$20.8516
Oct ’24HK$19.84
HK$29.40
+48.17%
28.94%HK$44.86HK$15.48HK$20.9017
Sep ’24HK$20.50
HK$29.34
+43.13%
28.22%HK$44.89HK$15.49HK$17.0018
Aug ’24HK$26.10
HK$34.21
+31.05%
27.27%HK$53.27HK$15.93HK$20.5518
Jul ’24HK$25.60
HK$34.59
+35.10%
27.16%HK$53.46HK$15.99HK$22.0518
Jun ’24HK$25.05
HK$35.09
+40.07%
25.75%HK$53.44HK$15.98HK$19.4016
May ’24HK$32.05
HK$37.19
+16.03%
24.75%HK$53.90HK$16.01HK$15.6016
AnalystConsensusTarget
Consensus Narrative from 18 Analysts
HK$34.19
Fair Value
8.4% undervalued intrinsic discount
18
Number of Analysts

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


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/14 23:43
End of Day Share Price 2025/05/14 00:00
Earnings2025/03/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Hua Hong Semiconductor Limited is covered by 48 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Alex ChangBNP Paribas Exane
Zhongheng LinBOCI Research Ltd.
Wenzhou HuBOCI Research Ltd.