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Hunan Friendship&Apollo Commercial Co Ltd (002277) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 9.0B CNY (≈ $1.4B) · ISIN CNE100000F12

What is Hunan Friendship&Apollo Commercial Co Ltd really worth?

HF Hunan Friendship&Apollo Commercial Co Ltd 002277 · SHE
Price¥6.02
Fair Value¥1.19
Upside−80.2%
Quality53/100

A solid business, but trading 406% above our fair value of ¥1.19.

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Strengths

Low debt · generates free cash flow

Risks

!Weak Growth (revenue 5y −15.5 %/yr)
!Loss-making · -33.4% net margin
!Trails peers (4/13)
!Narrow moat 7/100
!Evidence only low, so the estimate is less certain
Evidence: Low Range ¥0.8100 – ¥1.52

Fair value as of: Aug 13, 2026

From 12 valuation models · updated 22 days ago

Fair value updated Aug 13, 2026, revised from ¥1.27 to ¥1.19 (−6.3%) since Jul 22, 2026. Share price +3.6% 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 (¥1.52). The favourable scenario is already priced in.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • Solid but not exceptional quality (53/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (¥0.8100 to ¥1.52) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

¥8.34 ¥2.06 Fair Value ¥1.19 Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ¥2.06 – ¥8.34 · fair‑value band ¥0.8100 – ¥1.52 · the ¥6.02 price screens above the ¥1.19 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Hunan Friendship&Apollo Commercial Co Ltd (002277) currently trades at ¥6.02, while our model-based Fair Value estimate is ¥1.19, implying the stock looks roughly 405.8% overvalued today. The Quality Score stands at 53/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Asset-Based group reads highest at a median of ¥3.04 per share, and 0 of the 12 models we run sit above the ¥6.02 price. Bear case: the Multiples group reads lowest at ¥0.6000, and 12 of the 12 models stay below the price. Evidence for this calculation is low.

Over the trailing twelve months, Hunan Friendship&Apollo Commercial Co Ltd generated revenue of 1.0B CNY at a net margin of −33.4%. Revenue declined 28.3% year over year. It earns a return on equity of −5.4%. Net debt stands at 2.9B CNY. Fundamentals as of Aug 13, 2026

Our scenario range runs from ¥0.8100 (bear case) to ¥1.52 (bull case); at ¥6.02, 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 30% below its 52-week high and 10% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −15% fair-value upside, at −80%, 002277 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.

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
FCF DCF ¥0.9400 ¥1.38 ¥2.17 79
Growth DCF ¥0.9900 ¥1.41 ¥2.12 78
5Y EBITDA Exit ¥0.7900 ¥1.25 ¥1.85 74
All 12 models by family
DCF Models
FCF DCF ¥0.9400 ¥1.38 ¥2.17 79
5Y Revenue Exit ¥0.5500 ¥0.8300 ¥1.23 72
5Y EBITDA Exit ¥0.7900 ¥1.25 ¥1.85 74
10Y Revenue Exit ¥0.6800 ¥0.9000 ¥1.12 68
10Y EBITDA Exit ¥0.8400 ¥1.16 ¥1.48 69
Dividend Discount
Gordon GGM ¥1.41 ¥1.54 ¥1.73 69
DDM Multi-Stage ¥1.41 ¥1.74 ¥2.20 67
Multiples
EV/EBITDA ¥0.8600 ¥1.23 ¥1.61 67
EV/Revenue ¥0.3400 ¥0.6000 ¥0.8600 52
Asset-Based
NCAV (Graham) ¥2.27 ¥3.04 ¥4.54 54
Growth DCF
Growth DCF ¥0.9900 ¥1.41 ¥2.12 78
Rev-Margin DCF ¥0.5500 ¥0.8600 ¥1.24 72

Widest divergence: Asset-Based (¥3.04) versus Multiples (¥0.6000). Highest evidence: FCF DCF (79).

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Key figures & financial health

P/S ratio 9.02 TTM
EPS (TTM) ¥−0.2400
Dividend yield 2.5%
Net margin −33.4% FY2025
Return on equity −5.4% TTM
Return on assets (EBIT) 0.0% avg 5y
More key figures
Profitability
Operating margin −8.5% TTM
Growth
Revenue (TTM) 1.0B CNY TTM
Revenue growth (YoY) −28.3% 3y avg −17.9%
EPS growth (YoY) +15.6%
Balance sheet & cash flow
Free cash flow 181M CNY FY2025
Net debt 2.9B CNY FY2025 · ≈ 16.1 yrs of FCF

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 53/100

Of which business quality 54 · Market factors (momentum, volatility) 37

Profitability 4
Margins and returns on capital today
Quality Growth 53
Are margins and returns improving?
Cashflow 81
Earnings quality: real cash, not paper profit
Fin. Strength 36
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 27
Price trend over the last 3–12 months (market factor)
52W Momentum 26
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.

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

Hunan Friendship&Apollo Commercial Co.,Ltd. operates department stores in China. The operates outlets; shopping centers; convenience stores; specialty stores; and online shopping platforms comprising Youa Overseas Shopping, Youa Micro Store, and Youa Shopping, as well as leases properties.

Full company description

Hunan Friendship&Apollo Commercial Co.,Ltd. operates department stores in China. The operates outlets; shopping centers; convenience stores; specialty stores; and online shopping platforms comprising Youa Overseas Shopping, Youa Micro Store, and Youa Shopping, as well as leases properties. It operates stores and properties under the Friendship Store AB Pavilion, Friendship Mall, Apollo Commercial Plaza, Changsha Youa Outlets, Chenzhou Youa International Plaza, Changde Youa International Plaza, Shaoyang Youa International Plaza, etc. names. Hunan Friendship&Apollo Commercial Co.,Ltd. was founded in 2004 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 Friendship&Apollo Commercial Co Ltd reported revenue of 1.0B CNY in FY2025 versus 2.6B CNY in FY2021, a compound −21.1%/yr. Reported net income was −335M CNY in FY2025.

Growth Quality 23/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
1.0B CNY
Latest YoY
−22.7%
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.
−17.9%
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.
−15.5%
Avg. revenue growth/yr (19Y) 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.
−2.6%
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 −21.1%/yr
FY21 2.6B CNY
FY22 1.8B CNY
FY23 1.3B CNY
FY24 1.3B CNY
FY25 1.0B CNY
Net income
FY21 131M CNY
FY22 33.1M CNY
FY23 48.6M CNY
FY24 28.0M CNY
FY25 −335M CNY
Character of growth · EPS growth decomposed (2013-2024) −24.2 % p.a.
Revenue per share −16.5 %

of which total revenue −14.6 % · buybacks/dilution −2.3 %

EBIT margin −18.2 %
Tax rate +1.3 %
Residual (interest, one-offs) +9.6 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

002277 screens 406% overvalued. Compare with Falabella S.A →

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Cite: Fair Value Calculator (2026). "Hunan Friendship&Apollo Commercial Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/002277

Peer Group

Department Stores · 120 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 53 · Below median
Fair Value upside −80% · Bottom 25%
Return on assets −2% · Bottom 25%
Net margin (TTM) −33% · Bottom 25%
Operating margin (TTM) −9% · Bottom 25%
Revenue growth −28% · Bottom 25%
Dividend yield (TTM) 2.5% · Above median
Debt / equity 0.08× · Lower than median

Valuation Multiples vs Department Stores median · lower = cheaper

P/B 0.21× · Cheaper than 75% of peers
P/S (TTM) 1.35× · Pricier than 75% of peers
P/FCF 7.5× · Pricier than 75% of peers
PEG 0.40× · Cheaper than 75% of peers

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 23
FUTURE0 · sector 0
PAST0 · sector 17
HEALTH96 · sector 95
DIVIDEND49 · sector 44

VALUE 0: the price sits above our fair-value range.

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

Similar stocks

10 more Department Stores stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Falabella S.A FALABELLA 6,380 CLP 8,005 CLP +25%
Dillard's, Inc DDS $630.71 $536.21 −15%
99 Speed Mart Retail Holdings 5326 3.65 MYR 1.59 MYR −56%
Cencosud S.A CENCOSUD 1,949 CLP 2,425 CLP +24%
Macy's, Inc M $21.93 $42.68 +95%
Vishal Mega Mart Limited VMM ₹107.00 ₹30.46 −72%
Central Retail Corporation CRC 27.50 THB 20.89 THB −24%
SHINSEGAE Inc 004170 424,000 KRW 177,841 KRW −58%
Lotte Shopping Co 023530 96,700 KRW 76,636 KRW −21%
PT Daya Intiguna Yasa Tbk MDIY 940.00 IDR 968.76 IDR +3%

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Frequently asked questions

Is Hunan Friendship&Apollo Commercial Co Ltd (002277) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ¥1.19 versus a price of ¥6.02, about −80% upside (overvalued).
What is the fair value of 002277?
Our model-based fair value for Hunan Friendship&Apollo Commercial Co Ltd is ¥1.19 (as of Aug 13, 2026), built from audited fundamentals. The current price: ¥6.02.
What is the quality score of 002277?
Hunan Friendship&Apollo Commercial Co Ltd has a Quality Score of 53/100. 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 Friendship&Apollo Commercial Co Ltd (002277)?
Hunan Friendship&Apollo Commercial Co Ltd reported trailing-twelve-month revenue of about 1.0B CNY (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 002277?
The net profit margin of Hunan Friendship&Apollo Commercial Co Ltd is about −33.4%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does Hunan Friendship&Apollo Commercial Co Ltd pay a dividend?
Hunan Friendship&Apollo Commercial Co Ltd currently shows a dividend yield of about 2.47% relative to its recent price (as of Aug 13, 2026).
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