The Discounted Cash Flow (DCF) valuation of Zhejiang Anglikang Pharmaceutical Co Ltd (002940.SZ) is 25.66 CNY. With the latest stock price at 39.64 CNY, the upside of Zhejiang Anglikang Pharmaceutical Co Ltd based on DCF is -35.3%.
Based on the latest price of 39.64 CNY and our DCF valuation, Zhejiang Anglikang Pharmaceutical Co Ltd (002940.SZ) is a sell. Selling 002940.SZ stocks now will result in a potential gain of 35.3%.
Range | Selected | |
WACC / Discount Rate | 8.3% - 10.3% | 9.3% |
Long-term Growth Rate | 2.0% - 4.0% | 3.0% |
Fair Price | 19.98 - 36.64 | 25.66 |
Upside | -49.6% - -7.6% | -35.3% |
(CNY in millions) | Projections | |||||
12-2024 | 12-2025 | 12-2026 | 12-2027 | 12-2028 | 12-2029 | |
Revenue | 1,538 | 1,302 | 1,399 | 1,467 | 1,566 | 1,634 |
% Growth | 5% | -15% | 7% | 5% | 7% | 4% |
Cost of goods sold | (925) | (744) | (760) | (757) | (768) | (761) |
% of Revenue | 60% | 57% | 54% | 52% | 49% | 47% |
Selling, G&A expenses | (274) | (232) | (249) | (261) | (279) | (291) |
% of Revenue | 18% | 18% | 18% | 18% | 18% | 18% |
Research & Development | (200) | (169) | (182) | (190) | (203) | (212) |
% of Revenue | 13% | 13% | 13% | 13% | 13% | 13% |
Net interest & other expenses | 19 | 16 | 17 | 18 | 19 | 20 |
% of Revenue | 1% | 1% | 1% | 1% | 1% | 1% |
Tax expense | (6) | (20) | (26) | (32) | (39) | (45) |
Tax rate | 4% | 12% | 12% | 12% | 12% | 12% |
Net profit | 152 | 153 | 200 | 245 | 297 | 345 |
% Margin | 10% | 12% | 14% | 17% | 19% | 21% |