Meihua International Medical Technologies Co., Ltd.

NasdaqGM:MHUA Stock Report

Market Cap: US$12.4m

Meihua International Medical Technologies Valuation

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

Valuation Score

4/6

Valuation Score 4/6

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

Below Fair Value: MHUA ($0.54) is trading below our estimate of fair value ($14.19)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for MHUA. This is calculated by dividing MHUA's market cap by their current earnings.
What is MHUA's PE Ratio?
PE Ratio1.5x
EarningsUS$9.28m
Market CapUS$12.37m

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MHUA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average21.8x
UTMD Utah Medical Products
14.7xn/aUS$224.0m
OSUR OraSure Technologies
24.6x-47.7%US$287.2m
AVNS Avanos Medical
36xn/aUS$806.2m
EMBC Embecta
11.9x29.0%US$843.6m
MHUA Meihua International Medical Technologies
1.5xn/aUS$12.4m

Price-To-Earnings vs Peers: MHUA is good value based on its Price-To-Earnings Ratio (1.5x) compared to the peer average (21.8x).


Price to Earnings Ratio vs Industry

How does MHUA's PE Ratio compare vs other companies in the US Medical Equipment Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.36.2x17.1%
MHUA Meihua International Medical Technologies
1.5xn/aUS$12.37m
PAVM PAVmed
0.7x-77.8%US$11.86m
RTSL Rapid Therapeutic Science Laboratories
0.3xn/aUS$18.99k
MHUA 1.5xIndustry Avg. 36.2xNo. of Companies11PE020406080100+
4 CompaniesEstimated GrowthMarket Cap
Industry Avg.36.2x17.1%
MHUA Meihua International Medical Technologies
1.5xn/aUS$12.37m
No more companies

Price-To-Earnings vs Industry: MHUA is good value based on its Price-To-Earnings Ratio (1.5x) compared to the US Medical Equipment industry average (37.2x).


Price to Earnings Ratio vs Fair Ratio

What is MHUA'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.

MHUA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio1.5x
Fair PE Ration/a

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