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Huagong Tech Co Ltd
SZSE:000988

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Huagong Tech Co Ltd
SZSE:000988
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Price: 117.65 CNY -2.73% Market Closed
Market Cap: ¥118.3B

EV/EBIT

76.3
Current
104%
More Expensive
vs 3-y average of 37.4

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
76.3
=
Enterprise Value
¥104B
/
EBIT
¥1.5B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
76.3
=
Enterprise Value
¥104B
/
EBIT
¥1.5B

Valuation Scenarios

Huagong Tech Co Ltd is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (37.4), the stock would be worth ¥57.75 (51% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-62%
Maximum Upside
No Upside Scenarios
Average Downside
48%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 76.3 ¥117.65
0%
3-Year Average 37.4 ¥57.75
-51%
5-Year Average 41.9 ¥64.68
-45%
Industry Average 49.8 ¥76.87
-35%
Country Average 28.9 ¥44.59
-62%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
¥104B
/
Jan 2026
¥1.5B
=
76.3
Current
¥104B
/
Dec 2026
¥2.2B
=
48.2
Forward
¥104B
/
Dec 2027
¥2.7B
=
38
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
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Market Distribution

Higher than 78% of companies in China
Percentile
78th
Based on 5 337 companies
78th percentile
76.3
Low
0 — 16.6
Typical Range
16.6 — 52.9
High
52.9 —
Distribution Statistics
China
Min 0
30th Percentile 16.6
Median 28.9
70th Percentile 52.9
Max 49 021

Huagong Tech Co Ltd
Glance View

Market Cap
118.3B CNY
Industry
Electrical Equipment

Once a humble player in China's burgeoning industrial landscape, Huagong Tech Co Ltd has evolved into an influential force in the high-tech sector. Founded in 1999, the company has capitalized on advancements in laser technology, carving out a robust niche in the manufacture of laser processing equipment. These devices, integral to the precision manufacturing processes in various industries, from automotive to consumer electronics, form the backbone of Huagong Tech's revenue model. By focusing on innovation and adapting to market demands, the company has adeptly aligned itself with the rapid industrial growth in Asia, ensuring a steady stream of income from their laser-centric solutions. While laser technology remains its core operation, Huagong Tech has diversified its portfolio to include automation and intelligent manufacturing solutions, catering to a broader client base that values efficiency and cutting-edge technology. This strategic pivot has been crucial in strengthening its foothold in a competitive landscape, where the integration of smart systems is fast becoming the norm. Revenue streams are further bolstered by their investment in R&D, fostering the development of proprietary technologies that give them an edge over competitors. Through a blend of technological prowess and a keen understanding of market trends, Huagong Tech continues to sustain its growth trajectory, riding the wave of digital transformation across various sectors.

Intrinsic Value
53.99 CNY
Overvaluation 54%
Intrinsic Value
Price ¥117.65
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