Shenzhen Inovance Tech (300124) fair value: what the stock is really worth
As of Nov 5, 2026: fair value (intrinsic value) of Shenzhen Inovance Tech stock ¥47.64, price ¥57.94, that is 17.8% below the price, quality 56 out of 100. Rating: overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 4, 2026.
How to read this chart
60‑month range ¥39.39 – ¥88.32 · fair‑value band ¥24.68 – ¥85.50 · the ¥57.94 price screens above the ¥47.64 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 4, 2026.
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Shenzhen Inovance Technology Co.,Ltd manufactures and sells industrial automation control solutions in China and internationally. It operates through four segments: Industrial Automation and Digitalization, New Energy Vehicle Powertrain Systems, Emerging Industries, and Others.
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The company offers drive system products, including general-purpose low voltage, industry tailored low voltage, engineering, and medium voltage AC drives; motion control system products comprising servo drives and motors; control system products that include PLCS, I/O modules, and HMIs; industrial general-purpose and industry-specific motors; and industrial vision products, such as industrial cameras, vision software platform, and vision components.
It also provides industrial robot systems, including articulator 6-axis robots, SCARA robots, robot control cabinet, and robot optional accessories; elevator controllers; and power conversion systems.
It serves the off-highway vehicles, lithium batteries, air conditioning and refrigeration, injection molding machinery, and test equipment industries. The company was founded in 2003 and is headquartered in Shenzhen, China.
Stock analysis
Shenzhen Inovance Tech (300124) currently trades at ¥57.94, while our model-based Fair Value estimate is ¥47.64, 18% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of ¥78.89 per share, and 7 of the 26 models we run sit above the ¥57.94 price.
Bear case: the Dividend Discount group reads lowest at ¥7.42, and 19 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: ¥24.68 (bear) to ¥85.50 (bull), the price of ¥57.94 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 56/100 (solid quality), in the Industrials sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Shenzhen Inovance Tech reported revenue of 45.1B CNY in FY2025 versus 17.9B CNY in FY2021, a compound +25.9%/yr. Reported net income was 5.1B CNY in FY2025, compounding +9.0%/yr from FY2021.
Key figures
Market cap 157B CNY (≈ $23.6B) Large · P/E ratio 30.5 · P/S ratio 3.05 · EPS (TTM) ¥1.90 · Dividend yield 0.9% · Net margin 10.1% · Return on equity 13.7% · Return on assets (EBIT) 10.4%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 54 out of 100 (low confidence).
What moves the price
The share trades about 28% below its 52-week high and 17% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −35% fair-value upside, at −18%, 300124 screens cheaper than that median.
Fair Value models
Bear¥24.68Fair Value ¥47.64Bull¥85.50
Price ¥57.94 · Downside -17.8%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (¥1.19 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+21.8%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+25.2%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+31.4%
Start year 2020 (pandemic). Over 10 years: +32.2% a year
Revenue growth 18 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+36.8%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+18.9%
Earnings growth per share plus dividend.
Earnings per share, growth per year+18.0%
Dividend (yield on the price)0.9%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.18.0% vs 18.6%, steady
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.20% → 13%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
A lot of optimism in the price
The price assumes less growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+21.0%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+15.0%
Yearly sales growth analysts expect, extended to five years.
After inflation (China: IMF forecast 1.7% a year to 2030, 1.4% from 2016 to 2025) that is about +19.0% a year for the price and +13.1% for the forecasts.
AI conclusion: Inovance demonstrates strength through solid revenue growth in industrial automation and robotics, yet its automotive segment continues to pressure overall margins via weak domestic sales and rising input costs.
Main risk: Named rivals such as Estun domestically and Siemens, ABB or Mitsubishi abroad plus OEM insourcing in the NEV segment could intensify price pressure on servo, inverter and powertrain products and compress group margins.
Bull case: By embedding its own vertical AI models and iFG platform into motion control and robotics Inovance could strengthen differentiation, win higher-value system projects and offset hardware price pressure through recurring software and service revenue.
Bear case: Price wars with domestic and foreign rivals plus OEM insourcing and software platforms eroding hardware value could keep margins structurally lower while geopolitical barriers slow overseas growth and heighten exposure to the cyclical Chinese market.
Inovance keeps delivering solid revenue growth in its core industrial automation and robotics segments, but the automotive business keeps pressuring margins through weak domestic sales and rising input costs. The upcoming earnings will clarify if these headwinds are fading. Will the industrial side generate enough momentum to lift overall results, or will the automotive segment continue to hold back profitability?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Electrical Equipment & Parts · 560 stocks
Beats the industry median on 9/15 measures
Overall it ranks above its industry peers.
Valuation
Quality Score56 · Above median
Fair Value upside−17.8% · Above median
Profitability
Return on equity (12 months)13.7% · Above median
Return on assets7.1% · Top 25%
Net margin (12 months)10.1% · Above median
Operating margin (12 months)12.8% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)19.1% · Above median
Dividend yield (12 months)0.9% · Below median
Balance sheet
Debt / equity0.04× · Below median
Valuation Multiplesvs Electrical Equipment & Parts median · lower = cheaper
P/E (12 months)30.5× · Pricier than median
P/B4.44× · Priciest 25%
P/S (12 months)3.05× · Pricier than median
Price / free cash flow (fiscal year)42.9× · Pricier than median
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Is Shenzhen Inovance Tech (300124) overvalued or undervalued?
As of Nov 4, 2026, our model estimates a fair value of ¥47.64 versus a price of ¥57.94, about 18% lower (overvalued).
What is the fair value of 300124?
Our model-based fair value for Shenzhen Inovance Tech is ¥47.64 (as of Nov 4, 2026), built from audited fundamentals. The current price: ¥57.94.
What is the quality score of 300124?
Shenzhen Inovance Tech has a Quality Score of 56/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Shenzhen Inovance Tech (300124)?
Our model-based price target is the fair value of ¥47.64 (as of Nov 4, 2026) from 26 valuation models. Cautious scenario ¥24.68, optimistic scenario ¥85.50. It is a calculation from audited fundamentals, not an analyst target.
What is the Shenzhen Inovance Tech stock forecast for 2026?
Our models put fair value at ¥47.64, about 18% lower versus a price of ¥57.94 (overvalued). Cautious scenario ¥24.68, optimistic scenario ¥85.50. The calculation is refreshed regularly with new filings.
What is the revenue of Shenzhen Inovance Tech (300124)?
Shenzhen Inovance Tech reported trailing-twelve-month revenue of about 51.4B CNY (latest available figure, as of Nov 4, 2026).
Does Shenzhen Inovance Tech pay a dividend?
Shenzhen Inovance Tech currently shows a dividend yield of 0.86% relative to its recent price (as of Nov 4, 2026).
What growth is priced into Shenzhen Inovance Tech (300124)?
For today's price to be fair in a discounted-cash-flow model, Shenzhen Inovance Tech would have to grow free cash flow by +21.0 % per year for five years (discount rate 8.9 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +31.4 % per year. As of Nov 4, 2026.
What discount rate (WACC) does the fair value of 300124 use?
Our models discount Shenzhen Inovance Tech at 8.9 %: a base by market capitalisation (large), damped by beta 0.57, country premium for China. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Shenzhen Inovance Tech that is +21.0 % per year a year over ten years, using the same discount rate (8.9 %) and the same formula as our fair value.
How much growth has Shenzhen Inovance Tech (300124) delivered so far?
Over the past 5 years revenue at Shenzhen Inovance Tech grew +31.4 % a year. The price currently implies +21.0 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Shenzhen Inovance Tech (300124) growing?
The median revenue growth in the sector is +7.8 % a year. That is the yardstick for the growth priced into Shenzhen Inovance Tech (+21.0 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Shenzhen Inovance Tech (300124)?
The free-cash-flow yield on the price is 2.33 %: that much free cash flow Shenzhen Inovance Tech produces per unit of market value. When it exceeds the discount rate of our models (8.9 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Shenzhen Inovance Tech (300124)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Shenzhen Inovance Tech it is ¥47.64 per share (as of Nov 4, 2026), against a price of ¥57.94. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is Shenzhen Inovance Tech stock overvalued or undervalued in 2026?
As of Nov 4, 2026, 300124 trades above its calculated fair value: price ¥57.94, fair value ¥47.64, a gap of about −18% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 300124?
No. The price is what the market pays today (¥57.94); the fair value is what the company's own numbers justify (¥47.64). For Shenzhen Inovance Tech the two are ¥10.30 per share apart. That gap is exactly why we show both numbers side by side.
How much is Shenzhen Inovance Tech worth?
The market values Shenzhen Inovance Tech at about 157B CNY (market capitalisation, as of Nov 4, 2026). Per share that is ¥57.94; our models calculate a fair value of ¥47.64 per share.
What do the bullish and bearish scenarios say about 300124?
Our models span a range for Shenzhen Inovance Tech: cautious scenario ¥24.68, base ¥47.64, optimistic ¥85.50 per share (as of Nov 4, 2026, price ¥57.94). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 300124?
Shenzhen Inovance Tech trades at a price-to-earnings ratio of 30.5 (as of Nov 4, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ¥47.64 is built from several models across several years. Median P/E at fiscal year-end, 5 fiscal years (2021 to 2025), reported earnings: 40.4. Other multiples: PEG 0.9, P/B 4.4, P/S 3.1, EV/EBITDA 23.0.
What is the PEG ratio of 300124?
The PEG ratio of Shenzhen Inovance Tech is 0.86 (P/E divided by earnings growth, as of Nov 4, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of Shenzhen Inovance Tech (300124)?
Balance-sheet figures for Shenzhen Inovance Tech (as of Nov 4, 2026): return on equity 13.7%, debt of 0.04 per unit of equity. They feed the Quality Score of 56/100, which measures business quality independently of the share price.
How far is 300124 from its 52-week high?
Shenzhen Inovance Tech trades at ¥57.94, about 28% below its 52-week high of ¥80.35 and 17% above the low of ¥49.33 (as of Nov 5, 2026). Distance from the high says nothing about value: that is what the fair value of ¥47.64 is for.
Which stocks are comparable to Shenzhen Inovance Tech?
From the same area (Industrials) we also value Contemporary Amperex Technology Co, ABB Ltd, Vertiv Holdings, Delta Electronics (Thailand) Public Company, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Shenzhen Inovance Tech stock attractive at the current price?
The data as of Nov 4, 2026: price ¥57.94, calculated fair value ¥47.64 (−18%), Quality Score 56/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 300124 calculated?
We run Shenzhen Inovance Tech through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of ¥47.64, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 15.5% above its aggregate fair value. Shenzhen Inovance Tech itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Shenzhen Inovance Tech (300124)?
The closing price on Nov 5, 2026 was ¥57.94. Our model-based fair value is ¥47.64, about 18% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Shenzhen Inovance Tech right now?
The model range is unusually wide (¥24.68 to ¥85.50). The outcome hinges heavily on assumptions, so read the point estimate with caution. Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
Where does the earnings growth of Shenzhen Inovance Tech (300124) come from?
Earnings per share at Shenzhen Inovance Tech grew +21.7 % a year from 2013 to 2024. Broken into its drivers: revenue per share +31.8 %, EBIT margin −6.1 %, tax rate +0.8 %, residual (interest, one-offs) −2.4 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Shenzhen Inovance Tech
How large is the market capitalisation of Shenzhen Inovance Tech (300124)?
The market capitalisation of Shenzhen Inovance Tech is 157B CNY (≈ $23.6B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Shenzhen Inovance Tech (300124)?
The price-to-sales ratio of Shenzhen Inovance Tech is 3.05 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Shenzhen Inovance Tech (300124)?
Earnings per share at Shenzhen Inovance Tech are ¥1.90 (price ÷ EPS = P/E 30.5). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Shenzhen Inovance Tech (300124)?
The dividend yield of Shenzhen Inovance Tech is 0.9% (payout 26.3%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Shenzhen Inovance Tech (300124)?
The net margin of Shenzhen Inovance Tech is 10.1% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Shenzhen Inovance Tech (300124)?
The return on equity (ROE) of Shenzhen Inovance Tech is 13.7% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Shenzhen Inovance Tech (300124)?
On an EBIT basis the return on assets of Shenzhen Inovance Tech is 10.4% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Shenzhen Inovance Tech (300124)?
The operating margin of Shenzhen Inovance Tech is 12.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Shenzhen Inovance Tech (300124)?
Revenue at Shenzhen Inovance Tech is growing +19.1% versus a year earlier (3y avg +25.2%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Shenzhen Inovance Tech (300124)?
Earnings per share at Shenzhen Inovance Tech are growing +25.4% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Shenzhen Inovance Tech (300124) hold?
Shenzhen Inovance Tech holds more cash than debt, 58.3M CNY net (fiscal year 2024). The company holds more cash than debt, a safety cushion.
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Broad data
Nov 4, 2026