Huadian Heavy Industries Co (601226) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Huadian Heavy Industries Co stock ¥2.63, price ¥6.05, that is 56.5% below the price, quality 55 out of 100. Rating: strongly overvalued. Calculated from audited financials with 17 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 5, 2026.
How to read this chart
60‑month range ¥3.63 – ¥12.73 · fair‑value band ¥2.16 – ¥3.19 · the ¥6.05 price screens above the ¥2.63 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 5, 2026.
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Huadian Heavy Industries Co., Ltd. engages in the provision of engineering solutions in China.
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The company operates through seven segments: Marine Energy, Hydrogen-Based Energy, Next-Generation Coal Power, High-End Steel Structures, Material Transportation, Green and Smart Ports, and New Energy System Equipment.
It offers long-distance curved belt conveyors, tubular belt conveyors, ship unloaders, bucket wheel stacker-reclaimers, environmentally friendly circular stockyard stacker-reclaimers, tippers, spoil heaps, four major pipelines, power plant steel structures, wind turbine towers, photovoltaic supports, and container quay cranes.
The company offers its products to conveyors, ship loaders/unloaders, stacker-reclaimers, new high-efficiency through-type quay cranes, spoil helicopters, tippers, digital material yard management robots, and intelligent inspection robots industries.
The company was founded in 2008 and is based in Beijing, China. Huadian Heavy Industries Co., Ltd. operates as a subsidiary of China Huadian Engineering Co., Ltd.
Stock analysis
Huadian Heavy Industries Co (601226) currently trades at ¥6.05, while our model-based Fair Value estimate is ¥2.63, 57% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Multiples group reads highest at a median of ¥5.38 per share, and 2 of the 17 models we run sit above the ¥6.05 price.
Bear case: the Dividend Discount group reads lowest at ¥0.4600, and 15 of the 17 models stay below the price. Data coverage for this calculation is low.
Scenario range: ¥2.16 (bear) to ¥3.19 (bull), the price of ¥6.05 sits above 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 55/100 (solid quality), in the Industrials sector.
Expensive Growth: The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Huadian Heavy Industries Co reported revenue of 10.4B CNY in FY2025 versus 10.3B CNY in FY2021, a compound +0.2%/yr. Reported net income was 157M CNY in FY2025, compounding −15.2%/yr from FY2021.
Key figures
Market cap 7.0B CNY (≈ $1.1B) Small · P/E ratio 40.3 · P/S ratio 0.63 · EPS (TTM) ¥0.1500 · Dividend yield 0.8% · Net margin 1.6% · Return on equity 3.8% · Return on assets (EBIT) 2.2% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 25 out of 100 (low confidence).
What moves the price
The share trades about 52% below its 52-week high and 8% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −42% fair-value upside, at −57%, 601226 screens richer than that median.
Fair Value models
Bear¥2.16Fair Value ¥2.63Bull¥3.19
Price ¥6.05 · Downside -56.5%
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 (¥0.0872 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.32/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Revenue growth 1 year
+38.3%
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.
+8.3%
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.
+3.2%
Start year 2020 (pandemic). Over 10 years: +7.3% a year
Revenue growth 14 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.
+8.2%
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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.
+10.8%
Earnings growth per share plus dividend.
Earnings per share, growth per year+10.0%
Dividend (yield on the price)0.8%
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.10.0% vs −7.9%, picking up
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.1% → 2%
Compare Huadian Heavy Industries Co with another stock
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.Engineering & Construction · 791 stocks
Beats the industry median on 4/13 measures
Overall it trails its industry peers.
Valuation
Quality Score55 · Above median
Fair Value upside−56.5% · Bottom 25%
Profitability
Return on equity (12 months)3.8% · Below median
Return on assets1.4% · Below median
Net margin (12 months)1.6% · Below median
Operating margin (12 months)3.9% · Below median
Growth and dividend
Revenue growth (quarter YoY)24.9% · Top 25%
Dividend yield (12 months)0.8% · Bottom 25%
Balance sheet
Debt / equity0.01× · Lowest 25%
Valuation Multiplesvs Engineering & Construction median · lower = cheaper
P/E (12 months)40.3× · Priciest 25%
P/B1.60× · Pricier than median
P/S (12 months)0.63× · Cheaper than median
EV/EBITDA16.6× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 33
FUTURE (revenue growth)100· sector 20
PAST (return on equity)15· sector 28
HEALTH (low debt)100· sector 94
DIVIDEND (yield)16· sector 43
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Huadian Heavy Industries Co Fair Value". https://www.fairvalue-calculator.com/stock/601226
Frequently asked questions
Is Huadian Heavy Industries Co (601226) overvalued or undervalued?
As of Nov 5, 2026, our model estimates a fair value of ¥2.63 versus a price of ¥6.05, about 57% lower (overvalued).
What is the fair value of 601226?
Our model-based fair value for Huadian Heavy Industries Co is ¥2.63 (as of Nov 5, 2026), built from audited fundamentals. The current price: ¥6.05.
What is the quality score of 601226?
Huadian Heavy Industries Co has a Quality Score of 55/100. 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 Huadian Heavy Industries Co (601226)?
Our model-based price target is the fair value of ¥2.63 (as of Nov 5, 2026) from 17 valuation models. Cautious scenario ¥2.16, optimistic scenario ¥3.19. It is a calculation from audited fundamentals, not an analyst target.
What is the Huadian Heavy Industries Co stock forecast for 2026?
Our models put fair value at ¥2.63, about 57% lower versus a price of ¥6.05 (overvalued). Cautious scenario ¥2.16, optimistic scenario ¥3.19. The calculation is refreshed regularly with new filings.
What is the revenue of Huadian Heavy Industries Co (601226)?
Huadian Heavy Industries Co reported trailing-twelve-month revenue of about 11.1B CNY (latest available figure, as of Nov 5, 2026).
Does Huadian Heavy Industries Co pay a dividend?
Huadian Heavy Industries Co currently shows a dividend yield of 0.79% relative to its recent price (as of Nov 5, 2026).
How much is the dividend of Huadian Heavy Industries Co (601226) and when is the ex-dividend date?
Huadian Heavy Industries Co pays a dividend of ¥0.048 per share a year, a dividend yield of 0.8%. The last ex-dividend date was Jun 29, 2026. The payout ratio is 32.0% of earnings. Our assessment: Token dividend. At a yield of 0.8% the dividend is symbolic. On paper it is not fully covered by earnings or free cash flow, but at this size that hardly matters: even scrapping it entirely would cost less than 0.8% a year, and coverage ratios on amounts this small swing with ordinary working-capital movements. Judge this company on its business, not on its dividend.
What is the intrinsic value of Huadian Heavy Industries Co (601226)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Huadian Heavy Industries Co it is ¥2.63 per share (as of Nov 5, 2026), against a price of ¥6.05. It is the blended result of 17 valuation models in 7 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Economic Profit, Growth Earnings).
Is Huadian Heavy Industries Co stock overvalued or undervalued in 2026?
As of Nov 5, 2026, 601226 trades above its calculated fair value: price ¥6.05, fair value ¥2.63, a gap of about −57% (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 601226?
No. The price is what the market pays today (¥6.05); the fair value is what the company's own numbers justify (¥2.63). For Huadian Heavy Industries Co the two are ¥3.42 per share apart. That gap is exactly why we show both numbers side by side.
How much is Huadian Heavy Industries Co worth?
The market values Huadian Heavy Industries Co at about 7.0B CNY (market capitalisation, as of Nov 5, 2026). Per share that is ¥6.05; our models calculate a fair value of ¥2.63 per share.
What do the bullish and bearish scenarios say about 601226?
Our models span a range for Huadian Heavy Industries Co: cautious scenario ¥2.16, base ¥2.63, optimistic ¥3.19 per share (as of Nov 5, 2026, price ¥6.05). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 601226?
Huadian Heavy Industries Co trades at a price-to-earnings ratio of 40.3 (as of Nov 5, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ¥2.63 is built from several models across several years. Median P/E at fiscal year-end, 9 fiscal years (2017 to 2025), reported earnings, FY2025 ex one-offs: 59.6. Other multiples: P/B 1.6, P/S 0.6, EV/EBITDA 16.6.
How solid is the balance sheet of Huadian Heavy Industries Co (601226)?
Balance-sheet figures for Huadian Heavy Industries Co (as of Nov 5, 2026): return on equity 3.8%, debt of 0.01 per unit of equity. They feed the Quality Score of 55/100, which measures business quality independently of the share price.
How far is 601226 from its 52-week high?
Huadian Heavy Industries Co trades at ¥6.05, about 52% below its 52-week high of ¥12.73 and 8% above the low of ¥5.59 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of ¥2.63 is for.
Which stocks are comparable to Huadian Heavy Industries Co?
From the same area (Industrials) we also value Quanta Services, Inc, Vinci SA, Larsen & Toubro Limited, Comfort Systems USA, Inc, 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 Huadian Heavy Industries Co stock attractive at the current price?
The data as of Nov 5, 2026: price ¥6.05, calculated fair value ¥2.63 (−57%), Quality Score 55/100, from 17 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 601226 calculated?
We run Huadian Heavy Industries Co through 17 models from 7 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of ¥2.63 builds on their evidence-weighted average, 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 13.0% above its aggregate fair value. Huadian Heavy Industries Co 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 Huadian Heavy Industries Co (601226)?
The closing price on Nov 6, 2026 was ¥6.05. Our model-based fair value is ¥2.63, about 57% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Huadian Heavy Industries Co right now?
The price sits above even our optimistic bull case (¥3.19). The favourable scenario is already priced in. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid but not exceptional quality (55/100) and above fair value, neither a clear bargain nor a standout compounder.
Where does the earnings growth of Huadian Heavy Industries Co (601226) come from?
Earnings per share at Huadian Heavy Industries Co grew −8.3 % a year from 2013 to 2024. Broken into its drivers: revenue per share +2.3 %, EBIT margin −9.9 %, tax rate −0.4 %, residual (interest, one-offs) −0.1 %. 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 Huadian Heavy Industries Co
How large is the market capitalisation of Huadian Heavy Industries Co (601226)?
The market capitalisation of Huadian Heavy Industries Co is 7.0B CNY (≈ $1.1B). 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 Huadian Heavy Industries Co (601226)?
The price-to-sales ratio of Huadian Heavy Industries Co is 0.63 (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 Huadian Heavy Industries Co (601226)?
Earnings per share at Huadian Heavy Industries Co are ¥0.1500 (price ÷ EPS = P/E 40.3). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Huadian Heavy Industries Co (601226)?
The dividend yield of Huadian Heavy Industries Co is 0.8% (payout 32.0%). 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 Huadian Heavy Industries Co (601226)?
The net margin of Huadian Heavy Industries Co is 1.6% (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 Huadian Heavy Industries Co (601226)?
The return on equity (ROE) of Huadian Heavy Industries Co is 3.8% (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 Huadian Heavy Industries Co (601226)?
On an EBIT basis the return on assets of Huadian Heavy Industries Co is 2.2% (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 Huadian Heavy Industries Co (601226)?
The operating margin of Huadian Heavy Industries Co is 3.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Huadian Heavy Industries Co (601226)?
Revenue at Huadian Heavy Industries Co is growing +24.9% versus a year earlier (3y avg +8.3%). 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 Huadian Heavy Industries Co (601226)?
Earnings per share at Huadian Heavy Industries Co are growing −5.9% versus a year earlier. How much earnings per share grew versus a year earlier.
How much free cash flow does Huadian Heavy Industries Co (601226) generate?
The free cash flow of Huadian Heavy Industries Co is −752M CNY (fiscal year 2025). The cash truly left after running and investing in the business, this is what pays dividends and buybacks.
How much net cash does Huadian Heavy Industries Co (601226) hold?
Huadian Heavy Industries Co holds more cash than debt, 2.5B CNY net (fiscal year 2024). The company holds more cash than debt, a safety cushion.
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Thin data
Nov 5, 2026