The Discounted Cash Flow (DCF) valuation of Kingworld Medicines Group Ltd (1110.HK) is 1.63 HKD. With the latest stock price at 0.53 HKD, the upside of Kingworld Medicines Group Ltd based on DCF is 207.8%.
Based on the latest price of 0.53 HKD and our DCF valuation, Kingworld Medicines Group Ltd (1110.HK) is a buy. Buying 1110.HK stocks now will result in a potential gain of 207.8%.
Range | Selected | |
WACC / Discount Rate | 5.2% - 7.9% | 6.5% |
Long-term Growth Rate | 0.0% - 1.0% | 0.5% |
Fair Price | 1.23 - 2.38 | 1.63 |
Upside | 131.4% - 349.0% | 207.8% |
(CNY in millions) | Projections | |||||
12-2024 | 12-2025 | 12-2026 | 12-2027 | 12-2028 | 12-2029 | |
Revenue | 1,061 | 1,109 | 1,145 | 1,193 | 1,243 | 1,283 |
% Growth | 2% | 5% | 3% | 4% | 4% | 3% |
Cost of goods sold | (791) | (827) | (853) | (889) | (926) | (956) |
% of Revenue | 75% | 75% | 75% | 75% | 75% | 75% |
Selling, G&A expenses | (193) | (201) | (208) | (217) | (226) | (233) |
% of Revenue | 18% | 18% | 18% | 18% | 18% | 18% |
Research & Development | (18) | (18) | (19) | (20) | (21) | (21) |
% of Revenue | 2% | 2% | 2% | 2% | 2% | 2% |
Net interest & other expenses | 35 | 37 | 38 | 40 | 41 | 43 |
% of Revenue | 3% | 3% | 3% | 3% | 3% | 3% |
Tax expense | (21) | (28) | (29) | (30) | (32) | (33) |
Tax rate | 22% | 28% | 28% | 28% | 28% | 28% |
Net profit | 74 | 72 | 74 | 77 | 80 | 83 |
% Margin | 7% | 6% | 6% | 6% | 6% | 6% |