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Luyan Pharma Co (002788) Fair Value & Analysis

Healthcare · CN · Market cap 4.4B CNY

LP Luyan Pharma Co 002788 · SHE
Price¥11.15
Fair Value¥15.91
Upside+42.7%
Quality52/100
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Healthy Growth
Thin margins · 1.3% net margin
Low debt · generates free cash flow
3.10% dividend yield
Mixed vs. peers (7/14)
Narrow moat 29/100
Evidence: High Range ¥9.82 – ¥19.88 Share as image

Fair value as of: Jul 22, 2026

From 26 valuation models · updated 19 days ago

Share price +9.2% over the past month.

A solid business, screening 43% undervalued on our models.

What matters now

  • Solid quality (52/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (¥9.82 to ¥19.88) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥27.49 ¥5.74 Fair Value ¥15.91 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 ¥5.74 – ¥27.49 · fair‑value band ¥9.82 – ¥19.88 · the ¥11.15 price screens below the ¥15.91 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

Luyan Pharma Co (002788) currently trades at ¥11.15, while our model-based Fair Value estimate is ¥15.91, implying the stock looks roughly 42.7% undervalued today. The Quality Score stands at 52/100 (solid quality), in the Healthcare 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: high), always confirm before acting.

Over the trailing twelve months, Luyan Pharma Co generated revenue of 21.4B CNY at a net margin of 1.3%. Revenue grew 3.4% year over year. It earns a return on equity of 8.3%. Net debt stands at 3.8B CNY. Fundamentals as of Jul 22, 2026

Our scenario range runs from ¥9.82 (bear case) to ¥19.88 (bull case); at ¥11.15, 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 61% below its 52-week high and 42% above its 52-week low, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -14% fair-value upside, at 43%, 002788 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 ¥14.23 ¥22.45 ¥35.05 80
Residual Income ¥7.15 ¥7.71 ¥8.73 76
Rev-Margin DCF ¥14.26 ¥23.40 ¥34.57 74
All 26 models by family
DCF Models
FCF DCF ¥14.21 ¥22.88 ¥36.49 38
Owner Earnings ¥6.19 ¥9.69 ¥15.19 31
5Y Revenue Exit ¥14.26 ¥23.53 ¥35.74 39
5Y EBITDA Exit ¥17.12 ¥29.15 ¥43.75 41
5Y P/E Exit ¥12.46 ¥19.98 ¥28.17 38
10Y Revenue Exit ¥13.67 ¥22.18 ¥34.42 36
10Y EBITDA Exit ¥15.92 ¥26.10 ¥40.68 37
10Y P/E Exit ¥12.96 ¥19.70 ¥28.50 35
Earnings-Based
Graham-Dodd ¥4.92 ¥19.14 ¥25.97 54
Lynch FV ¥4.70 ¥6.72 ¥8.73 50
PEG = 1.0 ¥4.70 ¥6.72 ¥8.73 46
EPV ¥12.25 ¥14.07 ¥15.64 59
Dividend Discount
Gordon GGM ¥7.10 ¥14.14 ¥21.41 70
DDM Multi-Stage ¥7.10 ¥12.22 ¥14.93 61
Multiples
P/E Multiple ¥11.93 ¥15.91 ¥19.88 63
P/S Multiple ¥9.22 ¥12.29 ¥15.36 58
P/B Multiple ¥9.22 ¥12.29 ¥15.36 55
EV/EBIT ¥20.35 ¥26.88 ¥33.42 53
EV/EBITDA ¥20.58 ¥27.19 ¥33.80 54
EV/Revenue ¥14.74 ¥20.73 ¥26.73 43
Asset-Based
NCAV (Graham) ¥4.26 ¥5.70 ¥8.51 50
Growth DCF
Growth DCF ¥14.23 ¥22.45 ¥35.05 80
Rev-Margin DCF ¥14.26 ¥23.40 ¥34.57 74
Economic Profit
Residual Income ¥7.15 ¥7.71 ¥8.73 76
ROIC Compounder ¥13.28 ¥17.08 ¥21.91 72
Growth Earnings
Growth-Adj P/E ¥8.67 ¥12.38 ¥16.09 68

Widest divergence: Growth DCF (¥22.45) versus Asset-Based (¥5.70). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 21.4B CNY
Revenue growth (YoY) +3.4%
Net margin 1.3%
Return on equity 8.3%
Free cash flow 455M CNY FY2025
P/E ratio 15.8
More key figures
Operating margin 2.7%
EPS (TTM) ¥0.7100
Dividend yield 3.1%
EPS growth (YoY) -5.6%
Net debt 3.8B CNY FY2025

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

Quality Score breakdown

Overall quality 52/100

Of which business quality 51 · Market factors (momentum, volatility) 39

Profitability 41
Margins and returns on capital today
Quality Growth 40
Are margins and returns improving?
Cashflow 50
Earnings quality: real cash, not paper profit
Fin. Strength 31
Balance sheet, leverage, solvency risk
Investment 82
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 28
Price trend over the last 3–12 months (market factor)
52W Momentum 43
Distance to the 52-week high (market factor)
Net Issuance 81
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

Luyan Pharma Co.,Ltd., together with its subsidiaries, engages in the research, development, production, and sale of pharmaceutical products in China. The company distributes medicines, Chinese herbal medicines, medical devices, and others; and provides medical care, elderly care, and wellness services. It also operates pharmaceutical retail chains.

Full company description

Luyan Pharma Co.,Ltd., together with its subsidiaries, engages in the research, development, production, and sale of pharmaceutical products in China. The company distributes medicines, Chinese herbal medicines, medical devices, and others; and provides medical care, elderly care, and wellness services. It also operates pharmaceutical retail chains. The company was formerly known as Luyan (Fujian) Pharma Co. Ltd. and changed its name to Luyan Pharma Co.,Ltd. in June 2016. Luyan Pharma Co.,Ltd. was founded in 1992 and is headquartered in Xiamen, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Luyan Pharma Co reported revenue of ¥21.2B in FY2025 versus ¥17.5B in FY2021, a compound +4.9%/yr. Reported net income was ¥281M in FY2025, compounding −2.1%/yr from FY2021.

Growth Quality 67/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
21.2B CNY
Latest YoY
+3.8%
Avg. growth/yr (3Y)
+3.0%
Avg. growth/yr (5Y)
+6.5%
Avg. growth/yr (14Y)
+15.1%
Revenue +4.9%/yr
FY21 ¥17.5B
FY22 ¥19.5B
FY23 ¥19.8B
FY24 ¥20.5B
FY25 ¥21.2B
Net income −2.1%/yr
FY21 ¥306M
FY22 ¥345M
FY23 ¥364M
FY24 ¥346M
FY25 ¥281M

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Cite: Fair Value Calculator (2026). "Luyan Pharma Co Fair Value". https://www.fairvalue-calculator.com/stock/002788

Peer Group

Pharmaceutical Retailers · 61 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 52 · Below median
Fair Value upside +43% · Top 25%
Return on equity (TTM) 8% · Above median
Return on assets 3% · Above median
Net margin (TTM) 1% · Below median
Operating margin (TTM) 3% · Below median
Revenue growth 3% · Below median
Dividend yield (TTM) 3.1% · Below median
Debt / equity 0.10× · Higher than median

Valuation Multiples vs Pharmaceutical Retailers median · lower = cheaper

P/E (TTM) 15.8× · Cheaper than 75% of peers
P/B 1.32× · Cheaper than median
P/S (TTM) 0.20× · Cheaper than median
P/FCF 1.4× · Pricier than median
EV/EBITDA 6.3× · Cheaper 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 90 · sector 21
FUTURE 17 · sector 19
PAST 33 · sector 19
HEALTH 95 · sector 97
DIVIDEND 62 · sector 66

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 Pharmaceutical Retailers stocks, each showing price versus our Fair Value estimate (as of Jul 22, 2026).

Stock Price Fair Value vs Fair Value
JD Health International Inc 6618 HK$39.20 HK$33.28 -15%
Raia Drogasil S.A RADL3 R$18.20 R$15.58 -14%
Yifeng Pharmacy Chain Co 603939 ¥20.24 ¥29.07 +44%
DaShenLin Pharmaceutical Group 603233 ¥17.81 ¥23.86 +34%
Corporativo Fragua, S.A. FRAGUAB 463.00 MXN 821.18 MXN +77%
LBX Pharmacy Chain Joint Stock Company 603883 ¥11.51 ¥10.57 -8%
MedPlus Health Services Limited MEDPLUS ₹690.20 ₹379.25 -45%
Yixintang Pharmaceutical Group 002727 ¥11.46 ¥9.45 -18%
Anhui Huaren Health Pharmaceutical Co 301408 ¥14.40 ¥10.05 -30%
Apotea AB APOTEA kr 74.75 kr 43.95 -41%

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Frequently asked questions

Is Luyan Pharma Co (002788) overvalued or undervalued?
As of Jul 22, 2026, our model estimates a fair value of ¥15.91 versus a price of ¥11.15, about +43% (undervalued).
What is the fair value of 002788?
Our model-based fair value for Luyan Pharma Co is ¥15.91 (as of Jul 22, 2026), built from audited fundamentals. The current price is ¥11.15.
What is the quality score of 002788?
Luyan Pharma Co has a Quality Score of 52/100. 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 Luyan Pharma Co (002788)?
Luyan Pharma Co reported trailing-twelve-month revenue of about 21.4B CNY (latest available figure, as of Jul 22, 2026).
What is the net profit margin of 002788?
The net profit margin of Luyan Pharma Co is about 1.3%, meaning it keeps roughly 1.3% of revenue as net income. Based on the latest reported figures.
Does Luyan Pharma Co pay a dividend?
Luyan Pharma Co currently shows a dividend yield of about 3.10% 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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