China Tower Corporation Limited

SZSC:788 Stock Report

Market Cap: HK$199.3b

China Tower Valuation

Is 788 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 788 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 788 (HK$1.14) is trading below our estimate of fair value (HK$3.16)

Significantly Below Fair Value: 788 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 788?

Key metric: As 788 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 788. This is calculated by dividing 788's market cap by their current earnings.
What is 788's PE Ratio?
PE Ratio17.7x
EarningsCN¥10.56b
Market CapCN¥187.21b

Price to Earnings Ratio vs Peers

How does 788's PE Ratio compare to its peers?

The above table shows the PE ratio for 788 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average12.5x
762 China Unicom (Hong Kong)
10.3x5.2%HK$222.8b
6823 HKT Trust and HKT
14.2x5.1%HK$71.4b
728 China Telecom
12.9x7.1%HK$650.8b
ORA Orange
12.4x13.1%€25.3b
788 China Tower
17.7x24.1%HK$199.3b

Price-To-Earnings vs Peers: 788 is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the peer average (12.5x).

Price to Earnings Ratio vs Industry

How does 788's PE Ratio compare vs other companies in the Asian Telecom Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
788 17.7xIndustry Avg. 15.3xNo. of Companies27PE01632486480+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 788 is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the Asian Telecom industry average (15.4x).

Price to Earnings Ratio vs Fair Ratio

What is 788'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.

788 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.7x
Fair PE Ratio13.5x

Price-To-Earnings vs Fair Ratio: 788 is expensive based on its Price-To-Earnings Ratio (17.7x) compared to the estimated Fair Price-To-Earnings Ratio (13.5x).

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 788 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentHK$1.14
HK$1.14
+0.1%
13.9%HK$1.37HK$0.89n/a12
Dec ’25HK$1.02
HK$1.16
+13.5%
13.4%HK$1.38HK$0.90n/a13
Nov ’25HK$1.06
HK$1.17
+10.4%
13.5%HK$1.40HK$0.91n/a13
Oct ’25HK$1.03
HK$1.16
+12.8%
14.7%HK$1.43HK$0.93n/a13
Sep ’25HK$0.96
HK$1.16
+20.3%
14.7%HK$1.41HK$0.92n/a13
Aug ’25HK$0.96
HK$1.16
+20.4%
15.8%HK$1.45HK$0.88n/a12
Jul ’25HK$1.01
HK$1.12
+10.6%
17.0%HK$1.43HK$0.88n/a14
Jun ’25HK$0.92
HK$1.12
+21.8%
17.0%HK$1.44HK$0.88n/a14
May ’25HK$0.92
HK$1.12
+21.8%
17.0%HK$1.44HK$0.88n/a14
Apr ’25HK$0.90
HK$1.10
+22.5%
17.9%HK$1.44HK$0.86n/a15
Mar ’25HK$0.95
HK$1.06
+11.2%
22.3%HK$1.49HK$0.75n/a16
Feb ’25HK$0.86
HK$1.07
+24.2%
22.7%HK$1.49HK$0.75n/a17
Jan ’25HK$0.82
HK$1.09
+32.4%
26.0%HK$1.74HK$0.75n/a16
Dec ’24HK$0.82
HK$1.09
+32.5%
25.2%HK$1.72HK$0.76HK$1.0217
Nov ’24HK$0.74
HK$1.08
+46.0%
25.0%HK$1.70HK$0.75HK$1.0617
Oct ’24HK$0.75
HK$1.11
+47.9%
22.1%HK$1.68HK$0.75HK$1.0317
Sep ’24HK$0.76
HK$1.11
+46.1%
22.2%HK$1.69HK$0.75HK$0.9617
Aug ’24HK$0.88
HK$1.13
+28.1%
18.2%HK$1.72HK$0.85HK$0.9617
Jul ’24HK$0.87
HK$1.09
+25.7%
17.6%HK$1.62HK$0.84HK$1.0118
Jun ’24HK$0.87
HK$1.14
+31.3%
17.3%HK$1.69HK$0.88HK$0.9219
May ’24HK$1.00
HK$1.14
+14.0%
17.6%HK$1.70HK$0.88HK$0.9218
Apr ’24HK$0.95
HK$1.10
+16.0%
18.3%HK$1.69HK$0.80HK$0.9018
Mar ’24HK$0.89
HK$1.11
+24.2%
21.6%HK$1.72HK$0.68HK$0.9519
Feb ’24HK$0.95
HK$1.15
+20.9%
21.0%HK$1.75HK$0.69HK$0.8619
Jan ’24HK$0.84
HK$1.12
+33.1%
20.9%HK$1.70HK$0.67HK$0.8219
Dec ’23HK$0.83
HK$1.10
+33.0%
23.4%HK$1.72HK$0.64HK$0.8219

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/24 00:27
End of Day Share Price 2024/12/24 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

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 here.

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 .

Analyst Sources

China Tower Corporation Limited is covered by 40 analysts. 15 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Wenzhou HuBOCI Research Ltd.
Michael MengBOCI Research Ltd.
Wai Kit ChuBofA Global Research