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Zhejiang Development Group (000906) Fair Value & Analysis

Industrials · CN · Market cap 3.9B CNY

ZD Zhejiang Development Group 000906 · SHE
Price¥5.42
Fair Value¥5.34
Upside-1.5%
Quality51/100
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Healthy Growth
Thin margins · 0.1% net margin
Low debt · generates free cash flow
2.32% dividend yield
Mixed vs. peers (7/13)
Narrow moat 24/100
Evidence: Medium Range ¥4.00 – ¥6.67 Share as image

Fair value as of: Jul 25, 2026

From 10 valuation models · updated 16 days ago

Share price +2.1% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from ¥4.00 (bear) to ¥6.67 (bull), base ¥5.34. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 51/100 (solid quality) with medium evidence: read the verdict with care.
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Price vs Fair Value (5 years)

¥10.83 ¥4.13 Fair Value ¥5.34 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 25, 2026.

How to read this chart

60‑month range ¥4.13 – ¥10.83 · fair‑value band ¥4.00 – ¥6.67 · the ¥5.42 price screens above the ¥5.34 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 25, 2026.

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Analysis

Zhejiang Development Group (000906) currently trades at ¥5.42, while our model-based Fair Value estimate is ¥5.34, implying the stock looks roughly 1.5% fairly valued today. The Quality Score stands at 51/100 (solid quality), in the Industrials 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: medium).

Over the trailing twelve months, Zhejiang Development Group generated revenue of 241B CNY at a net margin of 0.1%. Revenue grew 10.6% year over year. It earns a return on equity of 5.9%. Net debt stands at 1.3B CNY. Fundamentals as of Jul 25, 2026

Our scenario range runs from ¥4.00 (bear case) to ¥6.67 (bull case); at ¥5.42, the current price sits within 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 20% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -14% fair-value upside, at -1%, 000906 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 ¥19.08 ¥26.53 ¥41.11 80
Residual Income ¥6.86 ¥6.65 ¥5.60 76
P/E Multiple ¥4.94 ¥6.59 ¥8.24 63
All 10 models by family
DCF Models
Owner Earnings ¥12.16 ¥15.12 ¥21.09 31
5Y P/E Exit ¥16.08 ¥22.30 ¥30.39 38
10Y P/E Exit ¥17.13 ¥23.86 ¥35.26 35
Earnings-Based
Graham-Dodd ¥2.13 ¥14.88 ¥20.89 54
Lynch FV ¥5.05 ¥7.21 ¥9.38 50
Multiples
P/E Multiple ¥4.94 ¥6.59 ¥8.24 63
P/B Multiple ¥4.00 ¥5.34 ¥6.67 55
Asset-Based
NCAV (Graham) ¥4.77 ¥6.39 ¥9.54 50
Growth DCF
Growth DCF ¥19.08 ¥26.53 ¥41.11 80
Economic Profit
Residual Income ¥6.86 ¥6.65 ¥5.60 76

Widest divergence: Growth DCF (¥26.53) versus Multiples (¥5.34). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 241B CNY
Revenue growth (YoY) +10.6%
Net margin 0.1%
Return on equity 5.9%
Free cash flow 444M CNY FY2025
P/E ratio 23.9
More key figures
Operating margin 0.7%
EPS (TTM) ¥0.2300
Dividend yield 2.3%
EPS growth (YoY) -11.5%
Net debt 1.3B CNY FY2024

Figures from reported company fundamentals · as of Jul 25, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 51/100

Of which business quality 51 · Market factors (momentum, volatility) 43

Profitability 34
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 44
Earnings quality: real cash, not paper profit
Fin. Strength 47
Balance sheet, leverage, solvency risk
Investment 57
Disciplined investing over empire-building
Low Volatility 85
Calm price path (market factor)
Momentum 31
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 98
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

Zhejiang Development Group Co.,Ltd multi-level and personalized supply chain integration services China and internationally. It operates through Black, Energy and chemical industry, New energy, Colored, Other segments.

Full company description

Zhejiang Development Group Co.,Ltd multi-level and personalized supply chain integration services China and internationally. It operates through Black, Energy and chemical industry, New energy, Colored, Other segments. The company is involved in domestic and foreign trade and upstream and downstream services of rebar, wire rod, round bar, hot-rolled strip, hot-rolled coil, cold-rolled products, corner grooves, billets, iron ore, coking coal, and coke, providing upstream and downstream; personalized integrated services; and renewable resource supply. It also company focuses on the energy and chemical industry, expands resources, builds channels, providing supply chain integration services, integrating trade, processing, pretreatment, finished product distribution, and warehousing and logistics; new energy industries, such as photovoltaic and energy storage, takes supply chain integration services; production and processing of the nonferrous industry chain; procurement and marketing, warehousing, transportation, processing, price management, etc. The company was formerly known as Zhejiang Materials Development Co., Ltd. and changed its name to Zhejiang Development Group Co.,Ltd in January 2017. Zhejiang Development Group Co.,Ltd was incorporated in 1999 and is based in Hangzhou, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Zhejiang Development Group reported revenue of ¥236B in FY2025 versus ¥178B in FY2021, a compound +7.2%/yr. Reported net income was ¥223M in FY2025, compounding −27.8%/yr from FY2021.

Growth Quality 85/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
236B CNY
Latest YoY
+16.6%
Avg. growth/yr (3Y)
+6.7%
Avg. growth/yr (5Y)
+16.7%
Avg. growth/yr (29Y)
+20.9%
Revenue +7.2%/yr
FY21 ¥178B
FY22 ¥194B
FY23 ¥203B
FY24 ¥202B
FY25 ¥236B
Net income −27.8%/yr
FY21 ¥819M
FY22 ¥1.0B
FY23 ¥683M
FY24 ¥369M
FY25 ¥223M

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Cite: Fair Value Calculator (2026). "Zhejiang Development Group Fair Value". https://www.fairvalue-calculator.com/stock/000906

Peer Group

Conglomerates · 370 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 51 · Above median
Fair Value upside −2% · Above median
Return on equity (TTM) 6% · Above median
Return on assets 1% · Below median
Net margin (TTM) 0% · Below median
Operating margin (TTM) 1% · Below median
Revenue growth 11% · Above median
Dividend yield (TTM) 2.3% · Above median
Debt / equity 0.31× · Higher than median

Valuation Multiples vs Conglomerates median · lower = cheaper

P/E (TTM) 23.9× · Pricier than median
P/B 0.58× · Cheaper than median
P/S (TTM) 0.02× · Cheaper than 75% of peers
P/FCF 1.3× · Pricier than median

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 31 · sector 21
FUTURE 53 · sector 16
PAST 24 · sector 20
HEALTH 85 · sector 88
DIVIDEND 46 · sector 39

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.

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Frequently asked questions

Is Zhejiang Development Group (000906) overvalued or undervalued?
As of Jul 25, 2026, our model estimates a fair value of ¥5.34 versus a price of ¥5.42, about −1% (fairly valued).
What is the fair value of 000906?
Our model-based fair value for Zhejiang Development Group is ¥5.34 (as of Jul 25, 2026), built from audited fundamentals. The current price is ¥5.42.
What is the quality score of 000906?
Zhejiang Development Group has a Quality Score of 51/100. 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 revenue of Zhejiang Development Group (000906)?
Zhejiang Development Group reported trailing-twelve-month revenue of about 241B CNY (latest available figure, as of Jul 25, 2026).
What is the net profit margin of 000906?
The net profit margin of Zhejiang Development Group is about 0.1%, meaning it keeps roughly 0.1% of revenue as net income. Based on the latest reported figures.
Does Zhejiang Development Group pay a dividend?
Zhejiang Development Group currently shows a dividend yield of about 2.32% relative to its recent price (as of Jul 25, 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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