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Zhejiang Construction Investment Group (002761) Fair Value & Analysis

Industrials · CN · Market cap 9.8B CNY

ZC Zhejiang Construction Investment Group 002761 · SHE
Price¥7.13
Fair Value¥5.31
Upside-25.5%
Quality47/100
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Weak Growth
Thin margins · 0.4% net margin
Moderate debt · generates free cash flow
0.68% dividend yield
Trails peers (3/14)
Narrow moat 21/100
Evidence: High Range ¥5.27 – ¥7.48 Share as image

Fair value as of: Jul 22, 2026

From 26 valuation models · updated 19 days ago

Fair value updated Jul 22, 2026, revised from ¥10.00 to ¥5.31 (−46.9%) since Jun 25, 2026. Share price +4.4% over the past month.

Below-average quality, and screening another 26% overvalued on our models.

What matters now

  • Solid but not exceptional quality (47/100) and above fair value, neither a clear bargain nor a standout compounder.
  • Our model range runs from ¥5.27 (bear) to ¥7.48 (bull), base ¥5.31. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 47/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

¥43.61 ¥6.63 Fair Value ¥5.31 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 ¥6.63 – ¥43.61 · fair‑value band ¥5.27 – ¥7.48 · the ¥7.13 price screens above the ¥5.31 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

Zhejiang Construction Investment Group (002761) currently trades at ¥7.13, while our model-based Fair Value estimate is ¥5.31, implying the stock looks roughly 25.5% overvalued today. The Quality Score stands at 47/100 (below-average 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, Zhejiang Construction Investment Group generated revenue of 79.9B CNY at a net margin of 0.4%. Revenue declined 6.1% year over year. It earns a return on equity of 4.0%. Net debt stands at 4.0B CNY. Fundamentals as of Jul 22, 2026

Our scenario range runs from ¥5.27 (bear case) to ¥7.48 (bull case); at ¥7.13, 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 37% below its 52-week high and 1% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at -26%, 002761 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 ¥39.67 ¥74.51 ¥130.65 80
Residual Income ¥5.25 ¥5.06 ¥4.01 76
Rev-Margin DCF ¥21.77 ¥33.69 ¥58.96 74
All 26 models by family
DCF Models
FCF DCF ¥42.17 ¥64.33 ¥133.43 38
Owner Earnings ¥3.48 ¥6.37 ¥12.22 31
5Y Revenue Exit ¥20.07 ¥29.53 ¥48.96 39
5Y EBITDA Exit ¥21.46 ¥32.34 ¥53.51 41
5Y P/E Exit ¥14.82 ¥22.20 ¥30.64 38
10Y Revenue Exit ¥26.62 ¥46.90 ¥56.65 36
10Y EBITDA Exit ¥28.01 ¥49.84 ¥84.33 37
10Y P/E Exit ¥23.27 ¥35.86 ¥52.81 35
Earnings-Based
Graham-Dodd ¥1.10 ¥7.68 ¥10.78 54
Lynch FV ¥3.97 ¥5.67 ¥7.37 50
PEG = 1.0 ¥3.97 ¥5.67 ¥7.37 46
EPV ¥8.45 ¥9.61 ¥10.61 59
Dividend Discount
Gordon GGM ¥4.39 ¥8.75 ¥13.25 70
DDM Multi-Stage ¥4.39 ¥7.56 ¥9.24 61
Multiples
P/E Multiple ¥2.67 ¥3.56 ¥4.45 63
P/S Multiple ¥2.06 ¥2.75 ¥3.44 58
P/B Multiple ¥2.06 ¥2.75 ¥3.44 55
EV/EBIT ¥14.65 ¥19.16 ¥23.68 53
EV/EBITDA ¥12.77 ¥16.66 ¥20.55 54
EV/Revenue ¥10.23 ¥14.15 ¥18.06 43
Asset-Based
NCAV (Graham) ¥3.74 ¥5.01 ¥7.48 50
Growth DCF
Growth DCF ¥39.67 ¥74.51 ¥130.65 80
Rev-Margin DCF ¥21.77 ¥33.69 ¥58.96 74
Economic Profit
Residual Income ¥5.25 ¥5.06 ¥4.01 76
ROIC Compounder ¥9.66 ¥12.93 ¥15.94 72
Growth Earnings
Growth-Adj P/E ¥5.27 ¥7.52 ¥9.78 68

Widest divergence: Growth DCF (¥33.69) versus Multiples (¥3.56). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 79.9B CNY
Revenue growth (YoY) -6.1%
Net margin 0.4%
Return on equity 4.0%
Free cash flow 3.4B CNY FY2025
P/E ratio 52.9
More key figures
Operating margin 1.2%
EPS (TTM) ¥0.1400
Dividend yield 0.7%
EPS growth (YoY) +6.9%
Net debt 4.0B CNY FY2025

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

Quality Score breakdown

Overall quality 47/100

Of which business quality 46 · Market factors (momentum, volatility) 35

Profitability 21
Margins and returns on capital today
Quality Growth 43
Are margins and returns improving?
Cashflow 62
Earnings quality: real cash, not paper profit
Fin. Strength 13
Balance sheet, leverage, solvency risk
Investment 84
Disciplined investing over empire-building
Low Volatility 83
Calm price path (market factor)
Momentum 20
Price trend over the last 3–12 months (market factor)
52W Momentum 6
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

Zhejiang Construction Investment Group Co.,Ltd engages in the construction business in China. The company operates through the Building Construction, Industrial Manufacturing, Other Engineering Related, and Other segments.

Full company description

Zhejiang Construction Investment Group Co.,Ltd engages in the construction business in China. The company operates through the Building Construction, Industrial Manufacturing, Other Engineering Related, and Other segments. It is involved in construction activities, including housing construction, municipal roads and bridges, rail transit, water conservancy and hydropower, equipment installation, decoration and renovation, and other construction businesses. The company also provides engineering design services, such as planning, design, and consulting services, as well as design-led engineering general contracting services. In addition, it designs, manufactures, sells, leases, installs, transforms, and maintains prefabricated subway segments, concrete, engineering machinery, power construction machinery, and pressure vessels. The company was formerly known as Dohia Group Co., Ltd and changed its name to Zhejiang Construction Investment Group Co.,Ltd in June 2021. Zhejiang Construction Investment Group Co.,Ltd was founded in 1949 and is headquartered in Hangzhou, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Zhejiang Construction Investment Group reported revenue of ¥81.1B in FY2025 versus ¥95.3B in FY2021, a compound −4.0%/yr. Reported net income was ¥215M in FY2025, compounding −32.7%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
81.1B CNY
Latest YoY
+0.6%
Avg. growth/yr (3Y)
−6.3%
Avg. growth/yr (5Y)
+0.4%
Avg. growth/yr (14Y)
+41.3%
Revenue −4.0%/yr
FY21 ¥95.3B
FY22 ¥98.5B
FY23 ¥92.6B
FY24 ¥80.6B
FY25 ¥81.1B
Net income −32.7%/yr
FY21 ¥1.0B
FY22 ¥967M
FY23 ¥392M
FY24 ¥194M
FY25 ¥215M

002761 screens 26% overvalued. Compare with Larsen & Toubro Limited →

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Cite: Fair Value Calculator (2026). "Zhejiang Construction Investment Group Fair Value". https://www.fairvalue-calculator.com/stock/002761

Peer Group

Engineering & Construction · 837 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 47 · Below median
Fair Value upside −26% · Below median
Return on equity (TTM) 4% · Below median
Return on assets 0% · Below median
Net margin (TTM) 0% · Below median
Operating margin (TTM) 1% · Below median
Revenue growth -6% · Below median
Dividend yield (TTM) 0.7% · Below median
Debt / equity 0.95× · Higher than 75% of peers

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 52.9× · Pricier than 75% of peers
P/B 0.99× · Cheaper than median
P/S (TTM) 0.12× · Cheaper than 75% of peers
P/FCF 0.4× · Cheaper than median
EV/EBITDA 11.8× · 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 0 · sector 16
FUTURE 0 · sector 18
PAST 16 · sector 26
HEALTH 53 · sector 94
DIVIDEND 14 · sector 33

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 Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 22, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹96.32 ₹48.22 -50%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is Zhejiang Construction Investment Group (002761) overvalued or undervalued?
As of Jul 22, 2026, our model estimates a fair value of ¥5.31 versus a price of ¥7.13, about −26% (overvalued).
What is the fair value of 002761?
Our model-based fair value for Zhejiang Construction Investment Group is ¥5.31 (as of Jul 22, 2026), built from audited fundamentals. The current price is ¥7.13.
What is the quality score of 002761?
Zhejiang Construction Investment Group has a Quality Score of 47/100. 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 Construction Investment Group (002761)?
Zhejiang Construction Investment Group reported trailing-twelve-month revenue of about 79.9B CNY (latest available figure, as of Jul 22, 2026).
What is the net profit margin of 002761?
The net profit margin of Zhejiang Construction Investment Group is about 0.4%, meaning it keeps roughly 0.4% of revenue as net income. Based on the latest reported figures.
Does Zhejiang Construction Investment Group pay a dividend?
Zhejiang Construction Investment Group currently shows a dividend yield of about 0.68% relative to its recent price (as of Jul 22, 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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