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Jiangyin Zhongnan Heavy Industries Co (002445) Fair Value & Analysis

Industrials · CN · Market cap 7.8B CNY

JZ Jiangyin Zhongnan Heavy Industries Co 002445 · SHE
Price¥2.95
Fair Value¥0.5300
Upside-82.0%
Quality54/100
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Expensive Growth
Thin margins · 4.6% net margin
Low debt · negative free cash flow
Trails peers (2/13)
Narrow moat 27/100
Evidence: High Range ¥0.4000 – ¥0.6700 Share as image

Fair value as of: Jul 22, 2026

From 17 valuation models · updated 19 days ago

Fair value updated Jul 22, 2026, revised from ¥0.5800 to ¥0.5300 (−8.6%) since Jun 25, 2026. Share price +4.6% over the past month.

A solid business, but screening 82% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥0.6700). The favourable scenario is already priced in.
  • Solid but not exceptional quality (54/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

¥4.49 ¥1.61 Fair Value ¥0.5300 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 22, 2026.

How to read this chart

60‑month range ¥1.61 – ¥4.49 · fair‑value band ¥0.4000 – ¥0.6700 · the ¥2.95 price screens above the ¥0.5300 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 22, 2026.

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Analysis

Jiangyin Zhongnan Heavy Industries Co (002445) currently trades at ¥2.95, while our model-based Fair Value estimate is ¥0.5300, implying the stock looks roughly 82.0% overvalued today. The Quality Score stands at 54/100 (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: high).

Over the trailing twelve months, Jiangyin Zhongnan Heavy Industries Co generated revenue of 1.1B CNY at a net margin of 4.6%. Revenue declined 12.7% year over year. It earns a return on equity of 2.8%. Net debt stands at 15.8M CNY. Fundamentals as of Jul 22, 2026

Our scenario range runs from ¥0.4000 (bear case) to ¥0.6700 (bull case); at ¥2.95, 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 38% below its 52-week high and 27% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at -82%, 002445 screens richer 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
Residual Income ¥0.6800 ¥0.6500 ¥0.5400 76
ROIC Compounder ¥0.2400 ¥0.2800 ¥0.3100 72
Gordon GGM ¥0.0100 ¥0.0200 ¥0.0300 70
All 17 models by family
DCF Models
Owner Earnings ¥0.2100 ¥0.3700 ¥0.6500 31
Earnings-Based
Graham-Dodd ¥0.2100 ¥1.01 ¥1.38 54
Lynch FV ¥0.2700 ¥0.3800 ¥0.5000 50
PEG = 1.0 ¥0.2700 ¥0.3800 ¥0.5000 46
EPV ¥0.2400 ¥0.2800 ¥0.3100 59
Dividend Discount
Gordon GGM ¥0.0100 ¥0.0200 ¥0.0300 70
DDM Multi-Stage ¥0.0100 ¥0.0200 ¥0.0200 61
Multiples
P/E Multiple ¥0.5200 ¥0.6900 ¥0.8600 63
P/S Multiple ¥0.4000 ¥0.5300 ¥0.6700 58
P/B Multiple ¥0.4000 ¥0.5300 ¥0.6700 55
EV/EBIT ¥0.3500 ¥0.4700 ¥0.5900 53
EV/EBITDA ¥0.4300 ¥0.5800 ¥0.7300 54
EV/Revenue ¥0.2700 ¥0.3800 ¥0.5000 43
Asset-Based
NCAV (Graham) ¥0.4800 ¥0.6400 ¥0.9500 50
Economic Profit
Residual Income ¥0.6800 ¥0.6500 ¥0.5400 76
ROIC Compounder ¥0.2400 ¥0.2800 ¥0.3100 72
Growth Earnings
Growth-Adj P/E ¥0.4300 ¥0.6200 ¥0.8000 68

Widest divergence: Asset-Based (¥0.6400) versus Dividend Discount (¥0.0200). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 1.1B CNY
Revenue growth (YoY) -12.7%
Net margin 4.6%
Return on equity 2.8%
Free cash flow −112M CNY FY2025
P/E ratio 164.0
More key figures
Operating margin 2.9%
EPS (TTM) ¥0.0200
EPS growth (YoY) -50.0%
Net debt 15.8M CNY FY2025

Figures from reported company fundamentals · as of Jul 22, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 54/100

Of which business quality 52 · Market factors (momentum, volatility) 49

Profitability 25
Margins and returns on capital today
Quality Growth 54
Are margins and returns improving?
Cashflow 3
Earnings quality: real cash, not paper profit
Fin. Strength 81
Balance sheet, leverage, solvency risk
Investment 77
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 47
Price trend over the last 3–12 months (market factor)
52W Momentum 39
Distance to the 52-week high (market factor)
Net Issuance 100
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

Jiangyin Zhongnan Heavy Industries Co.,Ltd engages in the production and sale of metal pipe fittings, flanges, piping systems, and pressure vessels in China and internationally.

Full company description

Jiangyin Zhongnan Heavy Industries Co.,Ltd engages in the production and sale of metal pipe fittings, flanges, piping systems, and pressure vessels in China and internationally. The company is also involved in the investment, planning, production, distribution, marketing, and development of derivative product of TV series, films, and other projects; and develops, invests in, constructs, and operates rooftop distributed photovoltaic power stations. It also exports its products. The company was formerly known as Jiangyin Jiangnan Pipe Industry Equipment Complete Set Co., Ltd. and changed its name to Jiangyin Zhongnan Heavy Industries Co.,Ltd. Jiangyin Zhongnan Heavy Industries Co.,Ltd was founded in 2003 and is headquartered in Jiangyin, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Jiangyin Zhongnan Heavy Industries Co reported revenue of ¥1.2B in FY2025 versus ¥482M in FY2021, a compound +24.8%/yr. Reported net income was ¥74.7M in FY2025, compounding −22.5%/yr from FY2021.

Growth Quality 58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
1.2B CNY
Latest YoY
+26.7%
Avg. growth/yr (3Y)
+21.2%
Avg. growth/yr (5Y)
+24.7%
Avg. growth/yr (18Y)
+7.6%
Revenue +24.8%/yr
FY21 ¥482M
FY22 ¥656M
FY23 ¥721M
FY24 ¥921M
FY25 ¥1.2B
Net income −22.5%/yr
FY21 ¥207M
FY22 ¥27.7M
FY23 ¥129M
FY24 ¥57.4M
FY25 ¥74.7M

002445 screens 82% overvalued. Compare with GE Vernova Inc →

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Cite: Fair Value Calculator (2026). "Jiangyin Zhongnan Heavy Industries Co Fair Value". https://www.fairvalue-calculator.com/stock/002445

Peer Group

Specialty Industrial Machinery · 809 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 54 · Above median
Fair Value upside −82% · Bottom 25%
Return on equity (TTM) 3% · Below median
Return on assets 1% · Below median
Net margin (TTM) 5% · Below median
Operating margin (TTM) 3% · Below median
Revenue growth -13% · Bottom 25%
Debt / equity 0.04× · Lower than median

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 164.0× · Pricier than 75% of peers
P/B 3.45× · Pricier than median
P/S (TTM) 6.87× · Pricier than 75% of peers
EV/EBITDA 95.7× · Pricier than 75% of peers
PEG 9.34× · 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 0 · sector 0
FUTURE 0 · sector 23
PAST 11 · sector 28
HEALTH 98 · sector 96
DIVIDEND 0 · sector 24

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

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

Similar stocks

10 more Specialty Industrial Machinery stocks, each showing price versus our Fair Value estimate (as of Jul 22, 2026).

Stock Price Fair Value vs Fair Value
GE Vernova Inc 1GEV €887.60 €186.93 -79%
1SIE 1SIE €273.20 €91.93 -66%
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Eaton Corporation ETN $407.28 $171.92 -58%
Atlas Copco AB ATCOA kr 195.15 kr 112.59 -42%
Sandvik AB SAND kr 384.10 kr 193.01 -50%
Doosan Enerbility Co 034020 76,400 KRW 7,938 KRW -90%
Vestas Wind Systems A/S VWS kr 178.10 kr 124.54 -30%
Zhejiang Sanhua Intelligent Controls Co 002050 ¥43.20 ¥22.68 -48%
NARI Technology Co 600406 ¥22.19 ¥18.71 -16%

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Frequently asked questions

Is Jiangyin Zhongnan Heavy Industries Co (002445) overvalued or undervalued?
As of Jul 22, 2026, our model estimates a fair value of ¥0.5300 versus a price of ¥2.95, about −82% (overvalued).
What is the fair value of 002445?
Our model-based fair value for Jiangyin Zhongnan Heavy Industries Co is ¥0.5300 (as of Jul 22, 2026), built from audited fundamentals. The current price is ¥2.95.
What is the quality score of 002445?
Jiangyin Zhongnan Heavy Industries Co has a Quality Score of 54/100. 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 Jiangyin Zhongnan Heavy Industries Co (002445)?
Jiangyin Zhongnan Heavy Industries Co reported trailing-twelve-month revenue of about 1.1B CNY (latest available figure, as of Jul 22, 2026).
What is the net profit margin of 002445?
The net profit margin of Jiangyin Zhongnan Heavy Industries Co is about 4.6%, meaning it keeps roughly 4.6% of revenue as net income. Based on the latest reported figures.

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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