The Discounted Cash Flow (DCF) valuation of Anhui Guofeng Plastic Industry Co Ltd (000859.SZ) is 3.74 CNY. With the latest stock price at 6.94 CNY, the upside of Anhui Guofeng Plastic Industry Co Ltd based on DCF is -46.2%.

Is 000859.SZ a buy or a sell?

Based on the latest price of 6.94 CNY and our DCF valuation, Anhui Guofeng Plastic Industry Co Ltd (000859.SZ) is a sell. Selling 000859.SZ stocks now will result in a potential gain of 46.2%.

	Range	Selected
WACC / Discount Rate	9.0% - 11.1%	10.1%
Long-term Growth Rate	2.0% - 4.0%	3.0%
Fair Price	2.85 - 5.36	3.74
Upside	-58.9% - -22.8%	-46.2%

6.94 CNY

Stock Price

3.74 CNY

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

000859.SZ DCF Valuation: Revenue & Expenses Forecast

(CNY in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	2,314	2,281	2,378	2,500	2,672	2,850
% Growth	4%	-1%	4%	5%	7%	7%

Cost of goods sold	(2,208)	(2,067)	(2,047)	(2,045)	(2,076)	(2,104)
% of Revenue	95%	91%	86%	82%	78%	74%

Selling, G&A expenses	(122)	(121)	(126)	(132)	(141)	(151)
% of Revenue	5%	5%	5%	5%	5%	5%

Research & Development	(88)	(87)	(91)	(95)	(102)	(109)
% of Revenue	4%	4%	4%	4%	4%	4%

Net interest & other expenses	32	31	32	34	36	39
% of Revenue	1%	1%	1%	1%	1%	1%

Tax expense	3	(4)	(15)	(26)	(39)	(53)
Tax rate	-4%	10%	10%	10%	10%	10%

Net profit	(70)	34	132	235	350	473
% Margin	-3%	1%	6%	9%	13%	17%