002012.SZ
Zhejiang Kan Specialities Material Co Ltd
Price:  
5.44 
CNY
Volume:  
13,008,500
China | Paper & Forest Products

002012.SZ DCF Valuation - Growth Exit 5Y

-46.8 %
Upside

What is the DCF valuation of 002012.SZ?

The Discounted Cash Flow (DCF) valuation of Zhejiang Kan Specialities Material Co Ltd (002012.SZ) is 2.89 CNY. With the latest stock price at 5.44 CNY, the upside of Zhejiang Kan Specialities Material Co Ltd based on DCF is -46.8%.

Is 002012.SZ a buy or a sell?

Based on the latest price of 5.44 CNY and our DCF valuation, Zhejiang Kan Specialities Material Co Ltd (002012.SZ) is a sell. Selling 002012.SZ stocks now will result in a potential gain of 46.8%.

Range Selected
WACC / Discount Rate7.7% - 10.4%9.0%
Long-term Growth Rate 3.0% - 5.0%4.0%
Fair Price2.36 - 4.382.89
Upside-56.7% - -19.4%-46.8%
5.44 CNY
Stock Price
2.89 CNY
Fair Price
REVENUE & EXPENSES
CAPEX
D&A
WORKING CAPITAL
TERMINAL VALUE

002012.SZ DCF Valuation: Revenue & Expenses Forecast

(CNY in millions)Projections
12-202412-202512-202612-202712-202812-2029
Revenue591591603615647664
% Growth
29%0%2%2%5%3%
Cost of goods sold(488)(478)(478)(478)(493)(496)
% of Revenue83%81%79%78%76%75%
Selling, G&A expenses(60)(60)(62)(63)(66)(68)
% of Revenue10%10%10%10%10%10%
Research & Development(26)(26)(26)(27)(28)(29)
% of Revenue4%4%4%4%4%4%
Net interest & other expenses9999910
% of Revenue1%1%1%1%1%1%
Tax expense(3)(5)(6)(7)(9)(11)
Tax rate13%13%13%13%13%13%
Net profit223039496070
% Margin4%5%7%8%9%11%