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Foshan Electrical and Lighting Co (200541) Fair Value & Analysis

Industrials · CN · Market cap HK$3.1B

FE Foshan Electrical and Lighting Co 200541 · SHE
PriceHK$1.91
Fair ValueHK$3.38
Upside+77.0%
Quality44/100
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Expensive Growth
Thin margins · 2.0% net margin
Low debt · negative free cash flow
2.62% dividend yield
Mixed vs. peers (6/12)
Narrow moat 23/100
Evidence: Medium Range HK$2.53 – HK$3.69 Share as image

Fair value as of: Jul 7, 2026

From 15 valuation models · updated 34 days ago

Fair value updated Jul 7, 2026, revised from HK$3.61 to HK$3.38 (−6.4%) since Jun 24, 2026. Share price −1.0% over the past month.

Below-average quality, screening 77% undervalued on our models.

What matters now

  • The large discount to fair value meets weak quality (44/100). That raises the risk this is a value trap rather than a bargain.
  • The price is below even our cautious bear case (HK$2.53). The market is more pessimistic than our downside scenario.
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Price vs Fair Value (5 years)

HK$2.65 HK$1.75 Fair Value HK$3.38 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 7, 2026.

How to read this chart

60‑month range HK$1.75 – HK$2.65 · fair‑value band HK$2.53 – HK$3.69 · the HK$1.91 price screens below the HK$3.38 fair value. Dashed = 300-day average. As of Jul 7, 2026.

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Analysis

Foshan Electrical and Lighting Co (200541) currently trades at HK$1.91, while our model-based Fair Value estimate is HK$3.38, implying the stock looks roughly 77.0% undervalued today. The Quality Score stands at 44/100 (below-average quality), in the Industrials 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: medium), always confirm before acting.

Over the trailing twelve months, Foshan Electrical and Lighting Co generated revenue of HK$8.7B at a net margin of 2.0%. Revenue declined 2.3% year over year. It earns a return on equity of 1.3%. The balance sheet holds a net cash position of HK$2.7B. Fundamentals as of Jul 7, 2026

Our scenario range runs from HK$2.53 (bear case) to HK$3.69 (bull case); at HK$1.91, the current price sits below 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 24% below its 52-week high and 2% 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 77%, 200541 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 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
Residual Income HK$3.19 HK$3.08 HK$2.57 76
ROIC Compounder HK$2.85 HK$2.96 HK$3.06 72
Growth-Adj P/E HK$1.71 HK$2.44 HK$3.18 68
All 15 models by family
DCF Models
Owner Earnings HK$4.51 HK$6.15 HK$8.79 31
Earnings-Based
Graham-Dodd HK$0.9500 HK$3.96 HK$5.39 54
Lynch FV HK$1.00 HK$1.43 HK$1.86 50
PEG = 1.0 HK$1.00 HK$1.43 HK$1.86 46
EPV HK$2.85 HK$2.96 HK$3.06 59
Multiples
P/E Multiple HK$2.20 HK$2.94 HK$3.67 63
P/S Multiple HK$1.78 HK$2.38 HK$2.97 58
P/B Multiple HK$1.78 HK$2.38 HK$2.97 55
EV/EBIT HK$3.78 HK$4.34 HK$4.89 53
EV/EBITDA HK$7.11 HK$8.77 HK$10.43 54
EV/Revenue HK$3.31 HK$3.82 HK$4.32 43
Asset-Based
NCAV (Graham) HK$2.23 HK$2.98 HK$4.45 50
Economic Profit
Residual Income HK$3.19 HK$3.08 HK$2.57 76
ROIC Compounder HK$2.85 HK$2.96 HK$3.06 72
Growth Earnings
Growth-Adj P/E HK$1.71 HK$2.44 HK$3.18 68

Widest divergence: DCF Models (HK$6.15) versus Earnings-Based (HK$1.43). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) HK$8.7B
Revenue growth (YoY) -2.3%
Net margin 2.0%
Return on equity 1.3%
Free cash flow −HK$191M FY2025
P/E ratio 15.3
More key figures
Operating margin 0.9%
EPS (TTM) HK$0.1300
Dividend yield 2.6%
EPS growth (YoY) -59.5%
Net cash HK$2.7B FY2024

Figures from reported company fundamentals · as of Jul 7, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 44 · Market factors (momentum, volatility) 43

Profitability 24
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 23
Earnings quality: real cash, not paper profit
Fin. Strength 57
Balance sheet, leverage, solvency risk
Investment 71
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 25
Price trend over the last 3–12 months (market factor)
52W Momentum 9
Distance to the 52-week high (market factor)
Net Issuance 65
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

Foshan Electrical and Lighting Co.,Ltd, together with its subsidiaries, engages in the research and development, production, and sale of general lighting and electrical products, automotive lighting, LED packaging products, and others in the People's Republic of China and internationally.

Full company description

Foshan Electrical and Lighting Co.,Ltd, together with its subsidiaries, engages in the research and development, production, and sale of general lighting and electrical products, automotive lighting, LED packaging products, and others in the People's Republic of China and internationally. It offers general lighting and electrical products, including LED light sources, LED luminaries, and traditional lighting products; lighting solutions for home lighting, commercial lighting, industrial lighting, municipal road lighting, and landscape lighting; LED bulbs, LED candle bulbs, LED spotlights, LED filament bulbs, and LED tube and battens; LED downlights, LED track lights, LED panel lights, LED ceiling lamps, LED strip lights, and LED emergency lights; and LED flood lights. It also provides electrical products comprising switches, electrical tape, and sockets; headlights, rear light combos, fog lights, backup lights, interior lights, and license plate lights; and offers smart lighting, healthy lighting, marine lighting, aviation lighting and animal and plant lighting. In addition, the company offers LED epitaxial wafers and chips, LED packaging and component products, integrated circuit packaging products, and third generation compound semiconductor packaging products. Further, it engages in property development and business services. Foshan Electrical and Lighting Co.,Ltd was founded in 1958 and is based in Foshan, the People's Republic of China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Foshan Electrical and Lighting Co reported revenue of HK$8.8B in FY2025 versus HK$8.7B in FY2021, a compound +0.2%/yr. Reported net income was HK$215M in FY2025, compounding −8.0%/yr from FY2021.

Growth Quality 52/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
HK$8.8B
Latest YoY
−2.8%
Avg. 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.
+0.1%
Avg. 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.
+18.6%
Avg. growth/yr (34Y) 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.
+12.3%
Revenue +0.2%/yr
FY21 HK$8.7B
FY22 HK$8.8B
FY23 HK$9.1B
FY24 HK$9.0B
FY25 HK$8.8B
Net income −8.0%/yr
FY21 HK$300M
FY22 HK$230M
FY23 HK$290M
FY24 HK$446M
FY25 HK$215M
Character of growth · EPS growth decomposed (2013-2024) +5.7 % p.a.
Revenue per share +13.4 pp

of which total revenue +13.7 pp · buybacks/dilution −0.3 pp

EBIT margin −6.6 pp
Tax rate +0.5 pp
Residual (interest, one-offs) −1.6 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Foshan Electrical and Lighting Co Fair Value". https://www.fairvalue-calculator.com/stock/200541

Peer Group

Electrical Equipment & Parts · 526 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 44 · Below median
Fair Value upside +77% · Top 25%
Return on equity (TTM) 1% · Below median
Return on assets -0% · Bottom 25%
Net margin (TTM) 2% · Below median
Operating margin (TTM) 1% · Below median
Revenue growth -2% · Bottom 25%
Dividend yield (TTM) 2.6% · Top 25%
Debt / equity 0.03× · Lower than median

Valuation Multiples vs Electrical Equipment & Parts median · lower = cheaper

P/E (TTM) 15.3× · Cheaper than 75% of peers
P/B 0.45× · Cheaper than 75% of peers
P/S (TTM) 0.35× · 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 0
FUTURE 0 · sector 57
PAST 5 · sector 26
HEALTH 99 · sector 97
DIVIDEND 52 · sector 18

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 Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Jul 7, 2026).

Stock Price Fair Value vs Fair Value
Contemporary Amperex Technology Co 3750 HK$675.50 HK$391.44 -42%
ABB Ltd ABBN CHF 83.82 CHF 35.46 -58%
Delta Electronics (Thailand) Public Company TDED 10.16 SGD 1.47 SGD -86%
LG Energy Solution, Ltd 373220 334,000 KRW 201,455 KRW -40%
WEG S.A WEGE3 13,210 ARS 7,948 ARS -40%
Sungrow Power Supply Co 300274 ¥114.79 ¥123.83 +8%
Shenzhen Inovance Technology Co 300124 ¥63.43 ¥33.04 -48%
HD Hyundai Electric Co 267260 823,000 KRW 371,133 KRW -55%
LS ELECTRIC Co 010120 190,000 KRW 31,517 KRW -83%
Sieyuan Electric Co 002028 ¥151.73 ¥71.69 -53%

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Frequently asked questions

Is Foshan Electrical and Lighting Co (200541) overvalued or undervalued?
As of Jul 7, 2026, our model estimates a fair value of HK$3.38 versus a price of HK$1.91, about +77% (undervalued).
What is the fair value of 200541?
Our model-based fair value for Foshan Electrical and Lighting Co is HK$3.38 (as of Jul 7, 2026), built from audited fundamentals. The current price is HK$1.91.
What is the quality score of 200541?
Foshan Electrical and Lighting Co has a Quality Score of 44/100. 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 Foshan Electrical and Lighting Co (200541)?
Foshan Electrical and Lighting Co reported trailing-twelve-month revenue of about HK$8.7B (latest available figure, as of Jul 7, 2026).
What is the net profit margin of 200541?
The net profit margin of Foshan Electrical and Lighting Co is about 2.0%, meaning it keeps roughly 2.0% of revenue as net income. Based on the latest reported figures.
Does Foshan Electrical and Lighting Co pay a dividend?
Foshan Electrical and Lighting Co currently shows a dividend yield of about 2.62% relative to its recent price (as of Jul 7, 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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