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Gree Electric Appliances, Inc (000651) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 214B CNY

GE Gree Electric Appliances, Inc 000651 · SHE
Price¥40.25
Fair Value¥88.02
Upside+118.7%
Quality62/100
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Weak Growth
Solidly profitable · 17.0% net margin
Low debt · generates free cash flow
7.85% dividend yield
Ranks above peers (12/15)
Moderate moat 62/100
Evidence: High Range ¥67.68 – ¥126.90 Share as image

Fair value as of: Jul 12, 2026

From 24 valuation models · updated 26 days ago

Share price +4.8% over the past month.

A solid business, screening 119% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (¥67.68). The market is more pessimistic than our downside scenario.
  • Solid quality (62/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (¥67.68 to ¥126.90) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥47.09 ¥22.97 Fair Value ¥88.02 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range ¥22.97 – ¥47.09 · fair‑value band ¥67.68 – ¥126.90 · the ¥40.25 price screens below the ¥88.02 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

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Analysis

Gree Electric Appliances, Inc (000651) currently trades at ¥40.25, while our model-based Fair Value estimate is ¥88.02, implying the stock looks roughly 118.7% undervalued today. We read business quality at 62/100 (solid quality), in the Consumer Cyclical sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Gree Electric Appliances, Inc generated revenue of 172B CNY at a net margin of 17.0%. Revenue grew 3.5% year over year. It earns a return on equity of 19.2%. The balance sheet holds a net cash position of 55.9B CNY. Fundamentals as of Jul 12, 2026

Our scenario range runs from ¥67.68 (bear case) to ¥126.90 (bull case); at ¥40.25, the current price sits below 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 11% below its 52-week high and 10% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 8% fair-value upside, at 119%, 000651 screens cheaper 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.

Model BearBaseBull Evidence
Highest evidence
Growth DCF ¥126.01 ¥209.27 ¥357.87 80
Residual Income ¥35.50 ¥47.05 ¥202.77 76
Rev-Margin DCF ¥86.49 ¥127.73 ¥180.50 74
All 24 models by family
DCF Models
FCF DCF ¥126.11 ¥214.23 ¥372.26 38
Owner Earnings ¥96.60 ¥160.41 ¥274.83 31
5Y Revenue Exit ¥86.49 ¥127.83 ¥182.20 39
5Y EBITDA Exit ¥92.07 ¥139.22 ¥196.73 41
5Y P/E Exit ¥101.71 ¥158.85 ¥222.97 38
10Y Revenue Exit ¥96.85 ¥140.72 ¥204.62 36
10Y EBITDA Exit ¥102.39 ¥149.20 ¥216.93 37
10Y P/E Exit ¥108.89 ¥163.83 ¥239.15 35
Earnings-Based
Graham-Dodd ¥35.21 ¥156.64 ¥214.56 54
Lynch FV ¥40.67 ¥58.10 ¥75.52 50
PEG = 1.0 ¥40.67 ¥58.10 ¥75.52 46
EPV ¥66.17 ¥74.47 ¥81.84 59
Multiples
P/E Multiple ¥77.67 ¥103.56 ¥129.45 63
P/S Multiple ¥57.28 ¥76.37 ¥95.47 58
P/B Multiple ¥58.62 ¥78.16 ¥97.70 55
EV/EBIT ¥93.53 ¥118.31 ¥143.09 53
EV/EBITDA ¥81.67 ¥102.50 ¥123.34 54
EV/Revenue ¥69.29 ¥90.77 ¥112.25 43
Asset-Based
NCAV (Graham) ¥13.03 ¥17.46 ¥26.05 50
Growth DCF
Growth DCF ¥126.01 ¥209.27 ¥357.87 80
Rev-Margin DCF ¥86.49 ¥127.73 ¥180.50 74
Economic Profit
Residual Income ¥35.50 ¥47.05 ¥202.77 76
ROIC Compounder ¥69.47 ¥82.45 ¥97.10 72
Growth Earnings
Growth-Adj P/E ¥64.78 ¥92.55 ¥120.31 68

Widest divergence: DCF Models (¥149.20) versus Asset-Based (¥17.46). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 172B CNY
Revenue growth (YoY) +3.5%
Net margin 17.0%
Return on equity 19.2%
Free cash flow 44.7B CNY FY2025
P/E ratio 7.4
More key figures
Operating margin 13.4%
EPS (TTM) ¥5.22
Dividend yield 7.7%
EPS growth (YoY) +1.9%
Net cash 55.9B CNY FY2024

Figures from reported company fundamentals · as of Jul 12, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 62/100

Of which business quality 66 · Market factors (momentum, volatility) 54

Profitability 49
Margins and returns on capital today
Quality Growth 40
Are margins and returns improving?
Cashflow 91
Earnings quality: real cash, not paper profit
Fin. Strength 68
Balance sheet, leverage, solvency risk
Investment 70
Disciplined investing over empire-building
Low Volatility 97
Calm price path (market factor)
Momentum 38
Price trend over the last 3–12 months (market factor)
52W Momentum 33
Distance to the 52-week high (market factor)
Net Issuance 71
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.

About the company

Gree Electric Appliances, Inc. of Zhuhai, together with its subsidiaries, engages in the production and sale of consumer electrical appliances and accessories in China and internationally. It operates through four segments: Consumer Electronics; Industrial Products and Green Energy; Smart Equipment; and Other Businesses.

Full company description

Gree Electric Appliances, Inc. of Zhuhai, together with its subsidiaries, engages in the production and sale of consumer electrical appliances and accessories in China and internationally. It operates through four segments: Consumer Electronics; Industrial Products and Green Energy; Smart Equipment; and Other Businesses. The company offers residential air conditioners; home appliances, including air purifiers, humidifiers, air coolers, electric heaters, fans, kitchen appliances, personal care equipment, refrigerators, and washing machines; and optical storage air conditioning system. It also provides industrial products, such as screw, scroll, and centrifugal chillers, as well as multi-VRF, light commercial equipment, terminals, and packaged units. In addition, the company is involved in finance; information technology research and development; transportation; wholesale and retail trade; medical devices; agriculture; real estate; electrical machinery and equipment manufacturing; and technology promotion and application services. It exports its products. The company was formerly known as Haili Air-conditioning Engineering Co., Ltd. of Zhuhai and changed its name to Gree Electric Appliances, Inc. of Zhuhai in January 1994. Gree Electric Appliances, Inc. of Zhuhai was founded in 1989 and is headquartered in Zhuhai, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Gree Electric Appliances, Inc reported revenue of ¥171B in FY2025 versus ¥188B in FY2021, a compound −2.3%/yr. Reported net income was ¥29.0B in FY2025, compounding +5.9%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
171B CNY
Latest YoY
−9.5%
Avg. growth/yr (3Y)
−3.3%
Avg. growth/yr (5Y)
+0.3%
Avg. growth/yr (30Y)
+15.0%
Revenue −2.3%/yr
FY21 ¥188B
FY22 ¥189B
FY23 ¥204B
FY24 ¥189B
FY25 ¥171B
Net income +5.9%/yr
FY21 ¥23.1B
FY22 ¥24.5B
FY23 ¥29.0B
FY24 ¥32.2B
FY25 ¥29.0B

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Cite: Fair Value Calculator (2026). "Gree Electric Appliances, Inc Fair Value". https://www.fairvalue-calculator.com/stock/000651

Peer Group

Furnishings, Fixtures & Appliances · 311 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 62 · Top 25%
Fair Value upside +119% · Top 25%
Return on equity (TTM) 19% · Top 25%
Return on assets 5% · Top 25%
Net margin (TTM) 17% · Top 25%
Operating margin (TTM) 13% · Top 25%
Revenue growth 4% · Above median
Dividend yield (TTM) 7.9% · Top 25%
Debt / equity 0.02× · Lower than median

Valuation Multiples vs Furnishings, Fixtures & Appliances median · lower = cheaper

P/E (TTM) 7.3× · Cheaper than 75% of peers
P/B 1.47× · Pricier than median
P/S (TTM) 1.25× · Pricier than median
P/FCF 0.7× · Cheaper than median
EV/EBITDA 3.1× · Cheaper than 75% of peers
PEG 7.41× · Pricier than 75% of peers

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 100 · sector 21
FUTURE 18 · sector 0
PAST 77 · sector 19
HEALTH 99 · sector 98
DIVIDEND 100 · sector 55

Insider activity: 40/100

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

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Furnishings, Fixtures & Appliances stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
Midea Group 000333 ¥82.71 ¥107.22 +30%
Haier Smart Home Co 600690 ¥21.46 ¥36.04 +68%
King Slide Works Co 2059 8,655 TWD 1,917 TWD -78%
Guangdong Songfa Ceramics Co 603268 ¥155.59 ¥38.95 -75%
SharkNinja, Inc SN $154.53 $89.07 -42%
Hisense Home Appliances Group 000921 ¥26.33 ¥48.03 +82%
Zhejiang Supor Co 002032 ¥43.85 ¥44.84 +2%
COWAY Co 021240 96,700 KRW 112,530 KRW +16%
Ecovacs Robotics Co 603486 ¥50.13 ¥54.11 +8%
Voltas Limited VOLTAS ₹1,350 ₹185.71 -86%

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Frequently asked questions

Is Gree Electric Appliances, Inc (000651) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of ¥88.02 versus a price of ¥40.25, about +119% (undervalued).
What is the fair value of 000651?
Our model-based fair value for Gree Electric Appliances, Inc is ¥88.02 (as of Jul 12, 2026), built from audited fundamentals. The current price is ¥40.25.
What is the quality score of 000651?
Gree Electric Appliances, Inc has a Quality Score of 62/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Gree Electric Appliances, Inc (000651)?
Gree Electric Appliances, Inc reported trailing-twelve-month revenue of about 172B CNY (latest available figure, as of Jul 12, 2026).
What is the net profit margin of 000651?
The net profit margin of Gree Electric Appliances, Inc is about 17.0%, meaning it keeps roughly 17.0% of revenue as net income. Based on the latest reported figures.
Does Gree Electric Appliances, Inc pay a dividend?
Gree Electric Appliances, Inc currently shows a dividend yield of about 7.72% relative to its recent price (as of Jul 12, 2026).

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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