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China Modern Dairy Holdings (1117) Fair Value & Analysis

Consumer Defensive · HK · Market cap HK$7.7B

CM China Modern Dairy Holdings 1117 · HK
PriceHK$1.59
Fair ValueHK$3.45
Upside+117.7%
Quality43/100
Expensive Growth
Loss-making · -9.0% net margin
Moderate debt · negative free cash flow
Mixed vs. peers (6/11)
Narrow moat 22/100
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Evidence: Low Range HK$2.10 – HK$4.79 Share as image

Fair value as of: Aug 5, 2026

From 6 valuation models · updated today

Fair value updated Aug 5, 2026, revised from HK$3.41 to HK$3.45 (+1.2%) since Jul 2, 2026. Share price +56.9% over the past month.

Below-average quality, screening 118% undervalued on our models.

What matters now

  • The large discount to fair value meets weak quality (43/100). That raises the risk this is a value trap rather than a bargain.
  • The price is below even our cautious bear case (HK$2.10). The market is more pessimistic than our downside scenario.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • A fairly wide model range (HK$2.10 to HK$4.79) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

HK$2.22 HK$0.6028 Fair Value HK$3.45 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 5, 2026.

How to read this chart

60‑month range HK$0.6028 – HK$2.22 · fair‑value band HK$2.10 – HK$4.79 · the HK$1.59 price screens below the HK$3.45 fair value. Dashed = 300-day average. As of Aug 5, 2026.

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Analysis

China Modern Dairy Holdings (1117) currently trades at HK$1.59, while our model-based Fair Value estimate is HK$3.45, implying the stock looks roughly 117.7% undervalued today. We read business quality at 43/100 (below-average quality), in the Consumer Defensive 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: low), always confirm before acting.

Over the trailing twelve months, China Modern Dairy Holdings generated revenue of HK$12.6B at a net margin of -9.0%. Revenue declined 4.5% year over year. It earns a return on equity of -11.5%. Net debt stands at HK$15.0B. Fundamentals as of Aug 5, 2026

Our scenario range runs from HK$2.10 (bear case) to HK$4.79 (bull case); at HK$1.59, the current price sits below that range. The share trades about 6% below its 52-week high and 80% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Defensive peers we cover trades at 102% fair-value upside, at 118%, 1117 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
ROIC Compounder HK$1.88 HK$2.80 HK$4.05 72
EPV HK$1.64 HK$2.01 HK$2.33 59
EV/EBITDA HK$2.75 HK$3.91 HK$5.06 54
All 6 models by family
Earnings-Based
EPV HK$1.64 HK$2.01 HK$2.33 59
Multiples
EV/EBIT HK$3.16 HK$4.46 HK$5.75 53
EV/EBITDA HK$2.75 HK$3.91 HK$5.06 54
EV/Revenue HK$1.90 HK$3.02 HK$4.14 43
Asset-Based
NCAV (Graham) HK$0.5300 HK$0.7100 HK$1.06 50
Economic Profit
ROIC Compounder HK$1.88 HK$2.80 HK$4.05 72

Widest divergence: Multiples (HK$3.91) versus Asset-Based (HK$0.7100). Highest evidence: ROIC Compounder (72).

Key figures & financial health

Revenue (TTM) HK$12.6B
Revenue growth (YoY) -4.5%
Net margin -9.0%
Return on equity -11.5%
Free cash flow −HK$1.6B FY2025
Operating margin 18.0%
More key figures
EPS (TTM) HK$-0.1200
EPS growth (YoY) -58.9%
Net debt HK$15.0B FY2025

Figures from reported company fundamentals · as of Aug 5, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 43/100

Of which business quality 34 · Market factors (momentum, volatility) 58

Profitability 9
Margins and returns on capital today
Quality Growth 44
Are margins and returns improving?
Cashflow 20
Earnings quality: real cash, not paper profit
Fin. Strength 22
Balance sheet, leverage, solvency risk
Investment 53
Disciplined investing over empire-building
Low Volatility 64
Calm price path (market factor)
Momentum 42
Price trend over the last 3–12 months (market factor)
52W Momentum 77
Distance to the 52-week high (market factor)
Net Issuance 83
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

China Modern Dairy Holdings Ltd., an investment holding company, operates dairy farming and produces raw milk in Mainland China, the United States, and internationally. It is involved in the production, trading, and sale of feeds; e-commerce platforms; forage grass planting; fertilizer treatment; and breeding of dairy cows.

Full company description

China Modern Dairy Holdings Ltd., an investment holding company, operates dairy farming and produces raw milk in Mainland China, the United States, and internationally. It is involved in the production, trading, and sale of feeds; e-commerce platforms; forage grass planting; fertilizer treatment; and breeding of dairy cows. The company was founded in 2005 and is headquartered in Maanshan, the People's Republic of China. China Modern Dairy Holdings Ltd. operates as a subsidiary of China Mengniu Dairy Company Limited.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Modern Dairy Holdings reported revenue of HK$12.6B in FY2025 versus HK$7.1B in FY2021, a compound +15.5%/yr. Reported net income was −HK$1.1B in FY2025.

Growth Quality 32/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
HK$12.6B
Latest YoY
−4.9%
Avg. growth/yr (3Y)
+0.8%
Avg. growth/yr (5Y)
+15.9%
Avg. growth/yr (16Y)
+21.1%
Revenue +15.5%/yr
FY21 HK$7.1B
FY22 HK$12.3B
FY23 HK$13.5B
FY24 HK$13.3B
FY25 HK$12.6B
Net income
FY21 HK$1.0B
FY22 HK$562M
FY23 HK$175M
FY24 −HK$1.4B
FY25 −HK$1.1B

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Cite: Fair Value Calculator (2026). "China Modern Dairy Holdings Fair Value". https://www.fairvalue-calculator.com/stock/1117

Peer Group

Farm Products · 298 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 41 · Below median
Fair Value upside +133% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) -9% · Bottom 25%
Operating margin (TTM) 18% · Top 25%
Revenue growth -5% · Below median
Debt / equity 1.46× · Higher than 75% of peers

Valuation Multiples vs Farm Products median · lower = cheaper

P/B 0.12× · Cheaper than 75% of peers
P/S (TTM) 0.08× · Cheaper than 75% of peers
EV/EBITDA 2.4× · 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 24
FUTURE 0 · sector 23
PAST 0 · sector 15
HEALTH 27 · sector 94
DIVIDEND 0 · sector 39

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 Farm Products stocks, each showing price versus our Fair Value estimate (as of Aug 5, 2026).

Stock Price Fair Value vs Fair Value
Archer-Daniels-Midland Company ADM $82.30 $38.02 -54%
Muyuan Foods Group 002714 ¥40.90 ¥48.19 +18%
Wens Foodstuff Group 300498 ¥14.51 ¥12.08 -17%
Mowi ASA MOWI kr 188.40 kr 262.59 +39%
PT Charoen Pokphand Indonesia Tbk, CPIN 3,120 IDR 7,076 IDR +127%
Charoen Pokphand Foods Public Company CPF 22.00 THB 55.71 THB +153%
PT Triputra Agro Persada Tbk TAPG 1,540 IDR 3,105 IDR +102%
PT FAP Agri Tbk FAPA 7,300 IDR 7,463 IDR +2%
PT Japfa Comfeed Indonesia Tbk JPFA 2,070 IDR 7,231 IDR +249%
Thaifoods Group TFGR 10.60 THB 23.53 THB +122%

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Frequently asked questions

Is China Modern Dairy Holdings (1117) overvalued or undervalued?
As of Aug 5, 2026, our model estimates a fair value of HK$3.45 versus a price of HK$1.59, about +118% (undervalued).
What is the fair value of 1117?
Our model-based fair value for China Modern Dairy Holdings is HK$3.45 (as of Aug 5, 2026), built from audited fundamentals. The current price is HK$1.59.
What is the quality score of 1117?
China Modern Dairy Holdings has a Quality Score of 43/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of China Modern Dairy Holdings (1117)?
China Modern Dairy Holdings reported trailing-twelve-month revenue of about HK$12.6B (latest available figure, as of Aug 5, 2026).
What is the net profit margin of 1117?
The net profit margin of China Modern Dairy Holdings is about -9.0%, meaning it is currently running at a net loss. 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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