688500.SS
HCR Co Ltd
Price:  
51.46 
CNY
Volume:  
4,281,651
China | Professional Services

688500.SS Fair Value

-106.8 %
Upside

What is the fair value of 688500.SS?

As of 2025-07-14, the Fair Value of HCR Co Ltd (688500.SS) is -3.51 CNY. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 51.46 CNY, the upside of HCR Co Ltd is -106.8%.

Is 688500.SS a good investment?

With the market price of 51.46 CNY and our fair value calculation, HCR Co Ltd (688500.SS) is not a good investment. Investing in 688500.SS stocks now will result in a potential loss of 106.8%.

Note: valuation result may not be accurate due to the company's negative EPS.

51.46 CNY
Stock Price
-3.51 CNY
Fair Price
FAIR VALUE CALCULATION

688500.SS Fair Value

Peter Lynch's formula is:

688500.SS Fair Value
= Earnings Growth Rate x TTM EPS
688500.SS Fair Value
= 5 x -0.7
688500.SS Fair Value
= -3.51

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
12-202012-202112-202212-202312-20245Y Avg
Net income73.7-38.2-86.67-169.79-53.4-55
YoY growth21.2%-151.8%-126.9%-95.9%68.6%-57%

688500.SS Fair Value - Peers Benchmarking

Market Cap (mil)EPS Fair Value Upside
a
NCS Testing Technology Co Ltd5,5590.46.36-56.1%
Holsin Engineering Consulting Group Co Ltd2,6070.43.64-63.6%
Zhubo Design Co Ltd2,4060.31.74-88.2%
Xuchang KETOP Testing Research Institute Co Ltd2,2350.94.26-80.2%
RoadMainT Co Ltd2,1420.73.65-88.7%
Business Online PCL4,4720.34.98-8.7%
Nexyz.Group Corp11,94865.41,635.1284.3%
Grace Technology Inc9,7092.210.91-39.4%
Korea Electronic Certification Authority Inc84,645260.76,517.9346.3%
VisasQ Inc7,40951.6257.97-67.8%

688500.SS Fair Value - Key Data

Market Cap (mil)3,822
P/E-
Forward P/E-
EPS-0.7
Avg earnings growth rate-57%
TTM earnings-52

688500.SS Fair Value - Formula's Origin

Peter Lynch is one of the most legendary investors/fund managers of all time. His philosophy for stock investing is very simple and straightforward: he invests in stocks that are undervalued, meaning its P/E is less than or equal to its earnings growth rate. He believes that if a stock is trading at its fair value, the PEG ratio, which was also invented by him, should be 1.

Therefore, his formula to determine a company's fair value is:

Peter Lynch Fair Value = Earnings Growth Rate * EPS * PEG

PEG is set to 1 so we can ignore it in the calculation. Based on the formula, if the earnings growth rate of a company is 15%, Peter Lynch is willing to buy its share up to P/E = 15.