China Water Affairs Group Ltd
HKEX:855
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EV/S
Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.
Enterprise Value to Sales (EV/S) ratio compares a company`s total enterprise value to its revenue. It shows how much investors are paying for each dollar of the company`s sales, including both equity and debt.
Valuation Scenarios
If EV/S returns to its 3-Year Average (1.6), the stock would be worth HK$4.3 (13% downside from current price).
| Scenario | EV/S Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 1.9 | HK$4.93 |
0%
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| 3-Year Average | 1.6 | HK$4.3 |
-13%
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| 5-Year Average | 1.7 | HK$4.37 |
-11%
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| Industry Average | 2.2 | HK$5.79 |
+17%
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| Country Average | 1.4 | HK$3.66 |
-26%
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Forward EV/S
Today’s price vs future revenue
| Today's Enterprise Value | Revenue | Forward EV/S | ||
|---|---|---|---|---|
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HK$21.4B
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/ |
Oct 2025
HK$10.9B
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= |
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HK$21.4B
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/ |
Mar 2026
HK$10.1B
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= |
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HK$21.4B
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/ |
Mar 2027
HK$10B
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= |
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HK$21.4B
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/ |
Mar 2028
HK$10B
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= |
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Forward EV/S shows whether today’s EV/S still looks high or low once future revenue are taken into account.
Peer Comparison
| Market Cap | EV/S | P/E | ||||
|---|---|---|---|---|---|---|
| HK |
|
China Water Affairs Group Ltd
HKEX:855
|
8B HKD | 1.9 | 9 | |
| US |
|
American Water Works Company Inc
NYSE:AWK
|
25.8B USD | 7.8 | 23.3 | |
| BR |
|
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP
BOVESPA:SBSP3
|
120.7B BRL | 3.7 | 13.8 | |
| UK |
|
Severn Trent PLC
LSE:SVT
|
9.3B GBP | 6.7 | 29.5 | |
| UK |
|
United Utilities Group PLC
LSE:UU
|
9.1B GBP | 7.7 | 22.6 | |
| US |
|
Essential Utilities Inc
NYSE:WTRG
|
11.2B USD | 7.8 | 18.2 | |
| BR |
B
|
Basic Sanitation Company of the State of Sao Paulo SABESP
SWB:SAJA
|
7.7B EUR | 1.8 | 5.5 | |
| HK |
|
Guangdong Investment Ltd
HKEX:270
|
53B HKD | 2.8 | 11.3 | |
| BR |
|
Companhia de Saneamento de Minas Gerais Copasa MG
BOVESPA:CSMG3
|
21.4B BRL | 3.3 | 15.2 | |
| HK |
|
Beijing Enterprises Water Group Ltd
HKEX:371
|
28.3B HKD | 3.4 | 19.4 | |
| CN |
|
Grandblue Environment Co Ltd
SSE:600323
|
24B CNY | 4 | 12.7 |
Market Distribution
| Min | 0 |
| 30th Percentile | 0.6 |
| Median | 1.4 |
| 70th Percentile | 3.5 |
| Max | 59 382.5 |
Other Multiples
China Water Affairs Group Ltd
Glance View
China Water Affairs Group Ltd. has carved a remarkable niche in a sector that is both crucial and challenging—water supply and management. Originating as a small-scale operator, the company has expanded exponentially to cater to the growing demands of urban and rural areas across China. Their operations span from the construction and management of water supply infrastructure to sanitation and sewage treatment, employing a keen focus on innovation and sustainability. By upgrading existing water systems and implementing advanced technologies, they ensure efficient resource allocation, which aligns with increasing governmental and public emphasis on environmental sustainability. Their expertise does not just lie in supplying water but extends to a holistic management approach that addresses water conservation and quality improvement. At the heart of China Water Affairs’ business model is a strategic blend of public-private partnerships and government concessions, which amplifies their revenue streams. These alliances allow the company to secure long-term contracts, providing a stable and recurring cash flow. It operates on a model wherein initial investments in infrastructure and technology are reclaimed through service charges levied on consumers, which encompass both residential and industrial users. Additionally, revenue is bolstered by ancillary businesses such as the sale of water-related equipment and services. Through a combination of strategic partnerships, governmental support, and a keen focus on efficiency, China Water Affairs Group Ltd. continues to thrive in the realm of urban water management, reflecting the enormity of delivering a life-sustaining service in one of the world’s most populous nations.