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Shenzhen SDG Information Co Ltd (000070) Fair Value & Analysis

Technology · CN · Market cap 13.0B CNY (≈ $1.9B) · ISIN CNE000001238

What is Shenzhen SDG Information Co Ltd really worth?

SS Shenzhen SDG Information Co Ltd 000070 · SHE
Price¥15.52
Fair Value¥2.21
Upside−85.8%
Quality36/100

Below-average quality, and trading another 602% above our fair value of ¥2.21.

As of Sep 5, 2026, the fair value of Shenzhen SDG Information Co Ltd is ¥2.21 per share against a price of ¥15.52, so the fair value sits 86% below the price. A model estimate blended from multiple valuation models, recalculated regularly.

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Strengths

Moderate debt · generates free cash flow

Risks

!Weak Growth (revenue 5y −1.3 %/yr)
!Loss-making · -11.0% net margin
!Trails peers (3/13)
!Narrow moat 18/100
!Evidence only low, so the estimate is less certain
!Weak on future: 26 out of 100
!Weak on dividend: 8 out of 100
Evidence: Low Range ¥1.67 – ¥3.39

Fair value as of: Sep 5, 2026

From 10 valuation models · updated yesterday

Share price +9.5% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (¥3.39). The favourable scenario is already priced in.
  • Weak quality (36/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • A fairly wide model range (¥1.67 to ¥3.39) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

¥25.33 ¥3.97 Fair Value ¥2.21 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 5, 2026.

How to read this chart

60‑month range ¥3.97 – ¥25.33 · fair‑value band ¥1.67 – ¥3.39 · the ¥15.52 price screens above the ¥2.21 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 2 fiscal years are left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Sep 5, 2026.

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Analysis

Shenzhen SDG Information Co Ltd (000070) currently trades at ¥15.52, while our model-based Fair Value estimate is ¥2.21, implying the stock looks roughly 602.2% overvalued today. The Quality Score stands at 36/100 (below-average quality), in the Technology sector. Bull case: the Multiples group reads highest at a median of ¥4.20 per share, and 0 of the 10 models we run sit above the ¥15.52 price. Bear case: the Asset-Based group reads lowest at ¥0.7800, and 10 of the 10 models stay below the price. Evidence for this calculation is low.

Over the trailing twelve months, Shenzhen SDG Information Co Ltd generated revenue of 4.5B CNY at a net margin of −11.0%. Revenue grew 5.1% year over year. It earns a return on equity of −19.5%. Net debt stands at 2.2B CNY. Fundamentals as of Sep 5, 2026

Our scenario range runs from ¥1.67 (bear case) to ¥3.39 (bull case); at ¥15.52, 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 31% below its 52-week high and 123% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at −52% fair-value upside, at −86%, 000070 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced 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. Every input is real reported data, nothing guessed.

Note: the current price implies far more future growth than the conservative anchors of our models allow (base growth is deliberately capped, we do not regard such extreme rates as sustainable). Our models are not designed for expectations this high; that is why the individual models scatter extremely (¥0.7800 to ¥6.73). Read the values as a conservative anchor, not as a price target.
Model 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. Evidence
Highest evidence
EPV ¥1.11 ¥1.39 ¥1.63 74
5Y EBITDA Exit ¥2.72 ¥5.65 ¥9.19 73
ROIC Compounder ¥1.11 ¥1.54 ¥2.13 71
All 10 models by family
DCF Models
5Y Revenue Exit ¥0.6500 ¥1.68 ¥3.06 68
5Y EBITDA Exit ¥2.72 ¥5.65 ¥9.19 73
10Y Revenue Exit ¥0.2100 ¥1.07 ¥2.31 60
10Y EBITDA Exit ¥1.60 ¥3.86 ¥7.09 64
Earnings-Based
EPV ¥1.11 ¥1.39 ¥1.63 74
Multiples
EV/EBIT ¥3.02 ¥4.20 ¥5.38 66
EV/EBITDA ¥4.92 ¥6.73 ¥8.55 67
EV/Revenue ¥1.27 ¥2.04 ¥2.81 53
Asset-Based
NCAV (Graham) ¥0.5800 ¥0.7800 ¥1.17 54
Economic Profit
ROIC Compounder ¥1.11 ¥1.54 ¥2.13 71

Widest divergence: Multiples (¥4.20) versus Asset-Based (¥0.7800). Highest evidence: EPV (74).

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Key figures & financial health

P/S ratio 3.63 TTM
EPS (TTM) ¥−0.5400
Dividend yield 0.4%
Net margin −11.2% FY2025
Return on equity −19.5% TTM
Return on assets (EBIT) −2.4% avg 5y
More key figures
Profitability
Operating margin 4.0% TTM
Growth
Revenue (TTM) 4.5B CNY TTM
Revenue growth (YoY) +5.1% 3y avg +1.8%
EPS growth (YoY) −64.6%
Balance sheet & cash flow
Free cash flow 7.7M CNY FY2025
Net debt 2.2B CNY FY2025

Figures from reported company fundamentals · as of Sep 5, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 36/100

Of which business quality 32 · Market factors (momentum, volatility) 54

Profitability 11
Margins and returns on capital today
Quality Growth 32
Are margins and returns improving?
Cashflow 13
Earnings quality: real cash, not paper profit
Fin. Strength 17
Balance sheet, leverage, solvency risk
Investment 99
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 49
Price trend over the last 3–12 months (market factor)
52W Momentum 69
Distance to the 52-week high (market factor)
Net Issuance 64
Buybacks instead of dilution

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.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Shenzhen SDG Information Co., Ltd. manufactures and sells fiber- optic cable, wiring network equipment, and communication equipment in the People's Republic of China and internationally.

Full company description

Shenzhen SDG Information Co., Ltd. manufactures and sells fiber- optic cable, wiring network equipment, and communication equipment in the People's Republic of China and internationally. It provides optical fiber and cable products, electric power optical fiber cables and wires, and optical fiber cable fittings; optical distribution products, optical transmission and access equipment, and intelligent terminals; and products for the military information industry. The company also offers optical communication, electric power communication, and data center solutions. Shenzhen SDG Information Co., Ltd. was founded in 1988 and is based in Shenzhen, the People's Republic of China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Shenzhen SDG Information Co Ltd reported revenue of 4.4B CNY in FY2025 versus 4.6B CNY in FY2021, a compound −1.0%/yr. Reported net income was −496M CNY in FY2025.

Growth Quality 26/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
4.4B CNY
Latest YoY
+0.2%
Avg. revenue growth/yr (3Y) 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.
+1.8%
Avg. revenue growth/yr (5Y) 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.
−1.3%
Avg. revenue growth/yr (28Y) 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.
+8.4%
EBIT margin (trend) 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.
3.6% (2020) → 3.9% (2025)
Value creation/yr We only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Revenue −1.0%/yr
FY21 4.6B CNY
FY22 4.2B CNY
FY23 4.9B CNY
FY24 4.4B CNY
FY25 4.4B CNY
Net income
FY21 −618M CNY
FY22 13.3M CNY
FY23 −272M CNY
FY24 −403M CNY
FY25 −496M CNY

000070 screens 602% overvalued. Compare with Cisco Systems, Inc →

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Cite: Fair Value Calculator (2026). "Shenzhen SDG Information Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/000070.SHE

Peer Group

Communication Equipment · 302 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.

Quality Score 36 · Bottom 25%
Fair Value upside −86% · Bottom 25%
Return on assets 0% · Below median
Net margin (TTM) −11% · Bottom 25%
Operating margin (TTM) 4% · Below median
Revenue growth 5% · Below median
Dividend yield (TTM) 0.4% · Below median
Debt / equity 1.16× · Higher than 75% of peers

Valuation Multiples vs Communication Equipment median · lower = cheaper

P/B 1.91× · Cheaper than median
P/S (TTM) 0.44× · Cheaper than 75% of peers
P/FCF 252.5× · Pricier than 75% of peers
EV/EBITDA 17.2× · Cheaper than median

Strength profile in five axes (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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE26 · sector 37
PAST0 · sector 15
HEALTH42 · sector 98
DIVIDEND8 · sector 22

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.

None of the checked exposures detected

Similar stocks

10 more Communication Equipment stocks, each showing price versus our Fair Value estimate (as of Sep 5, 2026).

Stock Price Fair Value vs Fair Value
Cisco Systems, Inc CSCO $109.20 $61.53 −44%
Zhongji Innolight Co 300308 ¥866.12 ¥171.09 −80%
Foxconn Industrial Internet Co 601138 ¥61.83 ¥28.65 −54%
Eoptolink Technology Inc 300502 ¥429.90 ¥176.99 −59%
Nokia Oyj NOK $10.21 $3.78 −63%
Motorola Solutions, Inc MSI $491.24 $236.33 −52%
Yangtze Optical Fibre And Cable Joint Stock Limited 601869 ¥400.03 ¥201.38 −50%
Suzhou TFC Optical Communication Co 300394 ¥276.25 ¥43.67 −84%
Telefonaktiebolaget LM Ericsson (publ), ERIC $10.13 $19.85 +96%
Accton Technology Corporation 2345 2,270 TWD 1,135 TWD −50%

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Frequently asked questions

Is Shenzhen SDG Information Co Ltd (000070) overvalued or undervalued?
As of Sep 5, 2026, our model estimates a fair value of ¥2.21 versus a price of ¥15.52, about −86% upside (overvalued).
What is the fair value of 000070?
Our model-based fair value for Shenzhen SDG Information Co Ltd is ¥2.21 (as of Sep 5, 2026), built from audited fundamentals. The current price: ¥15.52.
What is the quality score of 000070?
Shenzhen SDG Information Co Ltd has a Quality Score of 36/100. 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 SDG Information Co Ltd (000070)?
Our model-based price target is the fair value of ¥2.21 (as of Sep 5, 2026) from 10 valuation models. Cautious scenario ¥1.67, optimistic scenario ¥3.39. It is a calculation from audited fundamentals, not an analyst target.
What is the Shenzhen SDG Information Co Ltd stock forecast for 2026?
Our models put fair value at ¥2.21, about −86% upside versus a price of ¥15.52 (overvalued). Cautious scenario ¥1.67, optimistic scenario ¥3.39. The calculation is refreshed regularly with new filings.
What is the revenue of Shenzhen SDG Information Co Ltd (000070)?
Shenzhen SDG Information Co Ltd reported trailing-twelve-month revenue of about 4.5B CNY (latest available figure, as of Sep 5, 2026).
What is the net profit margin of 000070?
The net profit margin of Shenzhen SDG Information Co Ltd is about −11.0%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does Shenzhen SDG Information Co Ltd pay a dividend?
Shenzhen SDG Information Co Ltd currently shows a dividend yield of about 0.40% relative to its recent price (as of Sep 5, 2026).
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