Shenzhen Inovance Technology (300124.SZ)
Industrials · Shenzhen · China
Fundamentals
Valuation and ratings
Shenzhen Inovance Technology trades at CN¥60.02, which is 58% above the CN¥25.37 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 59 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 36.7 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Shenzhen Inovance Technology
Shenzhen Inovance Technology Co.,Ltd manufactures and sells industrial automation control solutions in China and internationally. It operates through four segments: Industrial Automation and Digitalization, New Energy Vehicle Powertrain Systems, Emerging Industries, and Others. The company offers drive system products, including general-purpose low voltage, industry tailored low voltage, engineering, and medium voltage AC drives; motion control system products comprising servo drives and motors; control system products that include PLCS, I/O modules, and HMIs; industrial general-purpose and industry-specific motors; and industrial vision products, such as industrial cameras, vision software platform, and vision components. It also provides industrial robot systems, including articulator 6-axis robots, SCARA robots, robot control cabinet, and robot optional accessories; elevator controllers; and power conversion systems. It serves the off-highway vehicles, lithium batteries, air conditioning and refrigeration, injection molding machinery, and test equipment industries. The company was founded in 2003 and is headquartered in Shenzhen, China.
300124.SZ passes 4 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Shenzhen Inovance Technology (300124.SZ) undervalued?
Against our discounted cash flow estimate of CN¥25.37, 300124.SZ at CN¥60.02 is 58% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is 300124.SZ's P/E ratio?
300124.SZ trades at 36.7 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.