Shenzhen Zhongheng Huafa Co (000020) Fair Value & Analysis
Technology · CN · Market cap 3.4B CNY
Fair value as of: Jul 5, 2026
From 26 valuation models · updated 36 days ago
Fair value updated Jul 5, 2026, revised from ¥4.06 to ¥2.42 (−40.4%) since Jun 25, 2026. Share price +5.2% over the past month.
A solid business, but screening 78% overvalued on our models.
What matters now
- A high-quality business (quality 72/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
- The price sits above even our optimistic bull case (¥3.03). The favourable scenario is already priced in.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 5, 2026.
How to read this chart
60‑month range ¥7.62 – ¥23.33 · fair‑value band ¥1.82 – ¥3.03 · the ¥11.15 price screens above the ¥2.42 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 5, 2026.
Analysis
Shenzhen Zhongheng Huafa Co (000020) currently trades at ¥11.15, while our model-based Fair Value estimate is ¥2.42, implying the stock looks roughly 78.3% overvalued today. The Quality Score stands at 72/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Shenzhen Zhongheng Huafa Co generated revenue of 798M CNY at a net margin of 4.4%. Revenue declined 28.1% year over year. It earns a return on equity of 8.1%. The balance sheet holds a net cash position of 203M CNY. Fundamentals as of Jul 5, 2026
Our scenario range runs from ¥1.82 (bear case) to ¥3.03 (bull case); at ¥11.15, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 57% below its 52-week high, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -73% fair-value upside, at -78%, 000020 screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 26 models by family
Widest divergence: DCF Models (¥4.46) versus Dividend Discount (¥0.0600). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 5, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 73 · Market factors (momentum, volatility) 25
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Shenzhen Zhongheng Huafa Co., Ltd., together with its subsidiaries, produces and sells injection molded parts, foam parts, and liquid crystal display monitors. The company is also involved in property leasing and management businesses. The company was formerly known as Shenzhen Huafa Electronics Co.,Ltd.
Full company description
Shenzhen Zhongheng Huafa Co., Ltd., together with its subsidiaries, produces and sells injection molded parts, foam parts, and liquid crystal display monitors. The company is also involved in property leasing and management businesses. The company was formerly known as Shenzhen Huafa Electronics Co.,Ltd. and changed its name to Shenzhen Zhongheng Huafa Co., Ltd. in September 2007. Shenzhen Zhongheng Huafa Co., Ltd. was founded in 1981 and is headquartered in Shenzhen, China.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2020 – FY2024 · reported fiscal years
Shenzhen Zhongheng Huafa Co reported revenue of ¥817M in FY2024 versus ¥692M in FY2020, a compound +4.2%/yr. Reported net income was ¥36.7M in FY2024, compounding +52.3%/yr from FY2020.
000020 screens 78% overvalued. Compare with Delta Electronics, Inc →
Peer Group
Electronic Components · 625 stocks
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.
Valuation Multiples vs Electronic Components median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Electronic Components stocks, each showing price versus our Fair Value estimate (as of Jul 5, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Delta Electronics, Inc 2308 | 1,880 TWD | 515.23 TWD | -73% |
| Hon Hai Precision Industry Co 2317 | 242.50 TWD | 270.47 TWD | +12% |
| Luxshare Precision Industry Co 002475 | ¥62.14 | ¥38.44 | -38% |
| Samsung Electro-Mechanics Co 009150 | 1,260,000 KRW | 166,421 KRW | -87% |
| Elite Material Co 2383 | 4,990 TWD | 714.36 TWD | -86% |
| Yageo Corporation 2327 | 699.00 TWD | 216.55 TWD | -69% |
| Shengyi Technology Co 600183 | ¥132.29 | ¥27.45 | -79% |
| Shennan Circuits Co 002916 | ¥364.00 | ¥93.50 | -74% |
| Victory Giant Technology (HuiZhou) Co 2476 | HK$297.00 | HK$103.98 | -65% |
| Wus Printed Circuit (Kunshan) Co 002463 | ¥127.80 | ¥31.95 | -75% |
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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