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Hua Hong Semiconductor Ltd
HKEX:1347

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Hua Hong Semiconductor Ltd
HKEX:1347
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Price: 113 HKD -1.4% Market Closed
Market Cap: HK$194B

P/B

4.1
Current
240%
More Expensive
vs 3-y average of 1.2

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
4.1
=
Market Cap
HK$173.2B
/
Total Equity
¥45.2B

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
4.1
=
Market Cap
HK$173.2B
/
Total Equity
¥45.2B

Valuation Scenarios

Hua Hong Semiconductor Ltd is trading above its 3-year average

If P/B returns to its 3-Year Average (1.2), the stock would be worth HK$33.21 (71% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-71%
Maximum Upside
+10%
Average Downside
43%
Scenario P/B Value Implied Price Upside/Downside
Current Multiple 4.1 HK$113
0%
3-Year Average 1.2 HK$33.21
-71%
5-Year Average 1.2 HK$33.21
-71%
Industry Average 4.5 HK$124.26
+10%
Country Average 2.4 HK$67.92
-40%

Forward P/B
Today’s price vs future total equity

Not enough data available to calculate forward P/B

Peer Comparison

All Multiples
P/B
P/E
All Countries
Close
Market Cap P/B P/E
CN
Hua Hong Semiconductor Ltd
HKEX:1347
199.1B HKD 4.1 488.5
US
NVIDIA Corp
NASDAQ:NVDA
5.3T USD 32.8 43
US
Broadcom Inc
NASDAQ:AVGO
2T USD 23.7 75.8
TW
Taiwan Semiconductor Manufacturing Co Ltd
TWSE:2330
58.7T TWD 10.1 30.8
US
Micron Technology Inc
NASDAQ:MU
591.7B USD 7.9 23.8
US
Advanced Micro Devices Inc
NASDAQ:AMD
545.4B USD 8.4 122.2
KR
SK Hynix Inc
KRX:000660
701.7T KRW 7.5 21.1
US
Intel Corp
NASDAQ:INTC
426.9B USD 3.8 -133.4
US
Texas Instruments Inc
NASDAQ:TXN
244.4B USD 14.8 45.3
UK
Arm Holdings PLC
NASDAQ:ARM
229.3B USD 27.2 264.8
US
Analog Devices Inc
NASDAQ:ADI
191.7B USD 5.6 69.3

Market Distribution

Higher than 72% of companies in China
Percentile
72st
Based on 7 605 companies
72st percentile
4.1
Low
0 — 1.5
Typical Range
1.5 — 3.9
High
3.9 —
Distribution Statistics
China
Min 0
30th Percentile 1.5
Median 2.4
70th Percentile 3.9
Max 1 172 445.9

Hua Hong Semiconductor Ltd
Glance View

Market Cap
194B HKD
Industry
Semiconductors

In the bustling heart of Shanghai's tech district, Hua Hong Semiconductor Ltd. stands as a pillar of the rapidly evolving semiconductor industry. Founded in 1997, the company has grown to become a major player in the semiconductor manufacturing arena, playing a crucial role in China's ambition to achieve technological self-sufficiency. Hua Hong specializes in the manufacturing and sale of high-quality wafers used in integrated circuits, a critical component in a broad spectrum of electronic devices ranging from smartphones to industrial equipment. Their operations hinge on proprietary technologies like eFlash, RF CMOS, and embedded non-volatile memories, enabling them to provide customized solutions that cater to the diverse needs of their global clientele. The company generates revenue primarily through its fabrication plants, which operate on a foundry model, meaning it produces semiconductor chips designed by external clients. This model allows Hua Hong to capitalize on economies of scale while adopting innovations in process nodes and packaging technologies. By continuously investing in R&D, Hua Hong sharpens its technological edge and attracts partnerships with leading technology firms. Their strategic base in China, combined with a customer-centric approach, positions them favorably amidst the global chip shortage, while fostering robust relationships with electronics giants worldwide. Through these meticulously crafted strategies and relentless innovation, Hua Hong Semiconductor has carved out a significant niche in the industry, impacting modern electronics on a literal and figurative level.

Intrinsic Value
7.9 HKD
Overvaluation 93%
Intrinsic Value
Price HK$113
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