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Hunan Valin Steel Co (000932) Fair Value & Analysis

Basic Materials · CN · Market cap 26.3B CNY

HV Hunan Valin Steel Co 000932 · SHE
Price¥3.73
Fair Value¥6.48
Upside+73.7%
Quality48/100
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Expensive Growth
Thin margins · 1.9% net margin
Low debt · generates free cash flow
4.26% dividend yield
Mixed vs. peers (8/15)
Narrow moat 22/100
Evidence: Medium Range ¥4.86 – ¥8.10 Share as image

Fair value as of: Jul 24, 2026

From 23 valuation models · updated 17 days ago

Share price +7.5% over the past month.

Below-average quality, screening 74% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (¥4.86). The market is more pessimistic than our downside scenario.
  • Solid quality (48/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

¥7.72 ¥3.31 Fair Value ¥6.48 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 24, 2026.

How to read this chart

60‑month range ¥3.31 – ¥7.72 · fair‑value band ¥4.86 – ¥8.10 · the ¥3.73 price screens below the ¥6.48 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 24, 2026.

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Analysis

Hunan Valin Steel Co (000932) currently trades at ¥3.73, while our model-based Fair Value estimate is ¥6.48, implying the stock looks roughly 73.7% undervalued today. The Quality Score stands at 48/100 (below-average quality), in the Basic Materials 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: medium), always confirm before acting.

Over the trailing twelve months, Hunan Valin Steel Co generated revenue of 121B CNY at a net margin of 1.9%. Revenue declined 2.7% year over year. It earns a return on equity of 5.0%. Net debt stands at 3.8B CNY. Fundamentals as of Jul 24, 2026

Our scenario range runs from ¥4.86 (bear case) to ¥8.10 (bull case); at ¥3.73, 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 46% below its 52-week high and 1% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -7% fair-value upside, at 74%, 000932 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 ¥1.28 ¥1.76 ¥2.53 80
Residual Income ¥6.18 ¥6.20 ¥5.83 76
ROIC Compounder ¥5.96 ¥6.87 ¥7.67 72
All 23 models by family
DCF Models
FCF DCF ¥1.27 ¥1.77 ¥2.56 38
Owner Earnings ¥1.46 ¥2.07 ¥3.06 31
5Y Revenue Exit ¥4.91 ¥8.84 ¥14.13 39
5Y EBITDA Exit ¥6.61 ¥12.16 ¥18.94 41
5Y P/E Exit ¥3.67 ¥6.45 ¥9.50 38
10Y Revenue Exit ¥3.41 ¥6.72 ¥11.62 36
10Y EBITDA Exit ¥4.72 ¥9.07 ¥15.43 37
10Y P/E Exit ¥2.82 ¥5.02 ¥7.96 35
Earnings-Based
Graham-Dodd ¥2.59 ¥9.58 ¥12.94 54
Lynch FV ¥2.30 ¥3.28 ¥4.26 50
PEG = 1.0 ¥2.30 ¥3.28 ¥4.26 46
EPV ¥5.96 ¥6.87 ¥7.67 59
Multiples
P/E Multiple ¥4.86 ¥6.48 ¥8.10 63
P/S Multiple ¥4.86 ¥6.48 ¥8.10 58
P/B Multiple ¥4.86 ¥6.48 ¥8.10 55
EV/EBIT ¥7.97 ¥10.45 ¥12.94 53
EV/EBITDA ¥10.29 ¥13.55 ¥16.81 54
EV/Revenue ¥6.97 ¥9.74 ¥12.51 43
Asset-Based
NCAV (Graham) ¥4.06 ¥5.45 ¥8.13 50
Growth DCF
Growth DCF ¥1.28 ¥1.76 ¥2.53 80
Economic Profit
Residual Income ¥6.18 ¥6.20 ¥5.83 76
ROIC Compounder ¥5.96 ¥6.87 ¥7.67 72
Growth Earnings
Growth-Adj P/E ¥3.78 ¥5.40 ¥7.02 68

Widest divergence: Multiples (¥6.48) versus Growth DCF (¥1.76). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 121B CNY
Revenue growth (YoY) -2.7%
Net margin 1.9%
Return on equity 5.0%
Free cash flow 438M CNY FY2025
P/E ratio 11.6
More key figures
Operating margin 1.4%
EPS (TTM) ¥0.3300
Dividend yield 4.3%
EPS growth (YoY) -64.5%
Net debt 3.8B CNY FY2025

Figures from reported company fundamentals · as of Jul 24, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 48/100

Of which business quality 48 · Market factors (momentum, volatility) 26

Profitability 30
Margins and returns on capital today
Quality Growth 34
Are margins and returns improving?
Cashflow 37
Earnings quality: real cash, not paper profit
Fin. Strength 50
Balance sheet, leverage, solvency risk
Investment 76
Disciplined investing over empire-building
Low Volatility 76
Calm price path (market factor)
Momentum 6
Price trend over the last 3–12 months (market factor)
52W Momentum 2
Distance to the 52-week high (market factor)
Net Issuance 82
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

Hunan Valin Steel Co., Ltd., together with its subsidiaries, produces and sells steel products in China. The company offers steel billets, seamless steel pipes, wire rods, rebar, hot-rolled ultra-thin strip steel coils, cold-rolled steel coils, galvanized sheets, small and medium-sized sections, and hot-rolled medium plates.

Full company description

Hunan Valin Steel Co., Ltd., together with its subsidiaries, produces and sells steel products in China. The company offers steel billets, seamless steel pipes, wire rods, rebar, hot-rolled ultra-thin strip steel coils, cold-rolled steel coils, galvanized sheets, small and medium-sized sections, and hot-rolled medium plates. It also provides logistics, trading, construction and installation, electricity and heat production and supply, waste resource utilization, and financial services. The company was formerly known as Hunan Valin Steel Tube & Wire Co. Ltd. and changed its name to Hunan Valin Steel Co., Ltd. in September 2008. Hunan Valin Steel Co., Ltd. was incorporated in 1999 and is headquartered in Changsha, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hunan Valin Steel Co reported revenue of ¥122B in FY2025 versus ¥172B in FY2021, a compound −8.2%/yr. Reported net income was ¥2.6B in FY2025, compounding −27.9%/yr from FY2021.

Growth Quality 52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
122B CNY
Avg. growth/yr (3Y)
−5.5%
Avg. growth/yr (5Y)
+6.2%
Avg. growth/yr (28Y)
+14.0%
Revenue −8.2%/yr
FY21 ¥172B
FY22 ¥169B
FY23 ¥164B
FY24 ¥145B
FY25 ¥122B
Net income −27.9%/yr
FY21 ¥9.7B
FY22 ¥6.4B
FY23 ¥5.1B
FY24 ¥2.0B
FY25 ¥2.6B

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Cite: Fair Value Calculator (2026). "Hunan Valin Steel Co Fair Value". https://www.fairvalue-calculator.com/stock/000932

Peer Group

Steel · 378 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 48 · Below median
Fair Value upside +74% · Top 25%
Return on equity (TTM) 5% · Above median
Return on assets 2% · Below median
Net margin (TTM) 2% · Below median
Operating margin (TTM) 1% · Below median
Revenue growth -3% · Below median
Dividend yield (TTM) 4.3% · Top 25%
Debt / equity 0.12× · Higher than median

Valuation Multiples vs Steel median · lower = cheaper

P/E (TTM) 11.6× · Cheaper than 75% of peers
P/B 0.47× · Cheaper than 75% of peers
P/S (TTM) 0.22× · Cheaper than median
P/FCF 8.9× · Pricier than 75% of peers
EV/EBITDA 2.9× · Cheaper than 75% of peers
PEG 0.11× · Cheaper 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 20
FUTURE 0 · sector 4
PAST 20 · sector 15
HEALTH 94 · sector 95
DIVIDEND 85 · sector 41

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 Steel stocks, each showing price versus our Fair Value estimate (as of Jul 24, 2026).

Stock Price Fair Value vs Fair Value
Tata Steel Limited TTST $0.2010 $0.2000 -0%
JSW Steel Limited JSWSTEEL ₹1,227 ₹1,140 -7%
Baoshan Iron & Steel Co 600019 ¥5.89 ¥8.07 +37%
China Steel Corporation 2002A 38.55 TWD 8.74 TWD -77%
POSCO Holdings 005490 313,500 KRW 155,270 KRW -50%
Companhia Siderúrgica Nacional, SID 13,670 ARS 15,940 ARS +17%
Jindal Steel Limited JINDALSTEL ₹1,028 ₹545.12 -47%
Lloyds Metals and Energy Limited LLOYDSME ₹1,844 ₹1,098 -40%
Gerdau S.A GGBN 83.50 MXN 42.64 MXN -49%
Ternium S.A TXR 17,780 ARS 27,210 ARS +53%

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Frequently asked questions

Is Hunan Valin Steel Co (000932) overvalued or undervalued?
As of Jul 24, 2026, our model estimates a fair value of ¥6.48 versus a price of ¥3.73, about +74% (undervalued).
What is the fair value of 000932?
Our model-based fair value for Hunan Valin Steel Co is ¥6.48 (as of Jul 24, 2026), built from audited fundamentals. The current price is ¥3.73.
What is the quality score of 000932?
Hunan Valin Steel Co has a Quality Score of 48/100. 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 Hunan Valin Steel Co (000932)?
Hunan Valin Steel Co reported trailing-twelve-month revenue of about 121B CNY (latest available figure, as of Jul 24, 2026).
What is the net profit margin of 000932?
The net profit margin of Hunan Valin Steel Co is about 1.9%, meaning it keeps roughly 1.9% of revenue as net income. Based on the latest reported figures.
Does Hunan Valin Steel Co pay a dividend?
Hunan Valin Steel Co currently shows a dividend yield of about 4.26% relative to its recent price (as of Jul 24, 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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