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Wenzhou Hongfeng Electrical Alloy Co (300283) Fair Value & Analysis

Industrials · CN · Market cap 9.2B CNY

WH Wenzhou Hongfeng Electrical Alloy Co 300283 · SHE
Price¥13.85
Fair Value¥1.21
Upside-91.3%
Quality42/100
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Expensive Growth
Thin margins · 2.2% net margin
Moderate debt · negative free cash flow
0.08% dividend yield
Trails peers (3/13)
Narrow moat 36/100
Evidence: Medium Range ¥0.9010 – ¥1.50 Share as image

Fair value as of: Aug 13, 2026

From 15 valuation models · updated today

Share price −19.5% over the past month.

Below-average quality, and screening another 91% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥1.50). The favourable scenario is already priced in.
  • Weak quality (42/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (5 years)

¥25.53 ¥3.51 Fair Value ¥1.21 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ¥3.51 – ¥25.53 · fair‑value band ¥0.9010 – ¥1.50 · the ¥13.85 price screens above the ¥1.21 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Wenzhou Hongfeng Electrical Alloy Co (300283) currently trades at ¥13.85, while our model-based Fair Value estimate is ¥1.21, implying the stock looks roughly 91.3% overvalued today. The Quality Score stands at 42/100 (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: medium).

Over the trailing twelve months, Wenzhou Hongfeng Electrical Alloy Co generated revenue of 4.4B CNY at a net margin of 2.2%. Revenue grew 110.3% year over year. It earns a return on equity of 6.2%. Net debt stands at 961M CNY. Fundamentals as of Aug 13, 2026

Our scenario range runs from ¥0.9010 (bear case) to ¥1.50 (bull case); at ¥13.85, 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 34% below its 52-week high and 139% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -65% fair-value upside, at -91%, 300283 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.

Note: the current price implies far more future growth than the conservative anchors of our models allow (base growth is deliberately capped, we do not regard such extreme rates as sustainable). Our models are not designed for expectations this high; that is why the individual models scatter extremely (¥0.8600 to ¥10.57). Read the values as a conservative anchor, not as a price target.
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 ¥1.57 ¥1.48 ¥1.16 76
ROIC Compounder ¥2.27 ¥3.51 ¥4.68 72
Growth-Adj P/E ¥1.01 ¥1.44 ¥1.87 68
All 15 models by family
DCF Models
Owner Earnings ¥0.1800 ¥1.36 ¥3.60 31
Earnings-Based
Graham-Dodd ¥0.3400 ¥2.12 ¥2.95 54
Lynch FV ¥0.6100 ¥0.8700 ¥1.13 50
PEG = 1.0 ¥0.6100 ¥0.8700 ¥1.13 46
EPV ¥2.26 ¥2.77 ¥3.21 59
Multiples
P/E Multiple ¥1.06 ¥1.42 ¥1.77 63
P/S Multiple ¥0.6500 ¥0.8600 ¥1.08 58
P/B Multiple ¥0.6500 ¥0.8600 ¥1.08 55
EV/EBIT ¥6.12 ¥8.47 ¥10.83 53
EV/EBITDA ¥7.69 ¥10.57 ¥13.46 54
EV/Revenue ¥2.62 ¥4.15 ¥5.68 43
Asset-Based
NCAV (Graham) ¥1.12 ¥1.50 ¥2.25 50
Economic Profit
Residual Income ¥1.57 ¥1.48 ¥1.16 76
ROIC Compounder ¥2.27 ¥3.51 ¥4.68 72
Growth Earnings
Growth-Adj P/E ¥1.01 ¥1.44 ¥1.87 68

Widest divergence: Asset-Based (¥1.50) versus Earnings-Based (¥0.8700). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 4.4B CNY
Revenue growth (YoY) +110%
Net margin 2.2%
Return on equity 6.2%
Free cash flow −48.7M CNY FY2025
P/E ratio 72.9
More key figures
Operating margin 9.1%
EPS (TTM) ¥0.1900
Dividend yield 0.1%
EPS growth (YoY) -58.8%
Net debt 961M CNY FY2025

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 42/100

Of which business quality 41 · Market factors (momentum, volatility) 65

Profitability 31
Margins and returns on capital today
Quality Growth 67
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 43
Balance sheet, leverage, solvency risk
Investment 67
Disciplined investing over empire-building
Low Volatility 19
Calm price path (market factor)
Momentum 89
Price trend over the last 3–12 months (market factor)
52W Momentum 76
Distance to the 52-week high (market factor)
Net Issuance 17
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

Wenzhou Hongfeng Electrical Alloy Co., Ltd., together with its subsidiaries, engages in the research, development, production, sale, and service of new material technologies in the People's Republic of China.

Full company description

Wenzhou Hongfeng Electrical Alloy Co., Ltd., together with its subsidiaries, engages in the research, development, production, sale, and service of new material technologies in the People's Republic of China. The company offers electrical contact materials, metal-matrix engineered composite materials, cemented carbide materials, copper foil for lithium-ion batteries, lead frames, and intelligent equipment. Its products are used in industrial electrical products, smart homes, smart transportation, intelligent manufacturing, electronic communication, and energy management applications. The company was founded in 1997 and is based in Wenzhou, the People's Republic of China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Wenzhou Hongfeng Electrical Alloy Co reported revenue of ¥3.7B in FY2025 versus ¥2.4B in FY2021, a compound +11.6%/yr. Reported net income was ¥25.2M in FY2025, compounding −19.6%/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)
3.7B CNY
Latest YoY
+16.6%
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.
+19.7%
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.
+15.7%
Avg. growth/yr (17Y) 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.
+19.8%
Revenue +11.6%/yr
FY21 ¥2.4B
FY22 ¥2.1B
FY23 ¥2.9B
FY24 ¥3.1B
FY25 ¥3.7B
Net income −19.6%/yr
FY21 ¥60.3M
FY22 ¥30.3M
FY23 ¥21.1M
FY24 −¥73.7M
FY25 ¥25.2M
Character of growth · EPS growth decomposed (2013-2024) +7.1 % p.a.
Revenue per share +15.7 pp

of which total revenue +15.9 pp · buybacks/dilution −0.2 pp

EBIT margin −7.2 pp
Tax rate −0.2 pp
Residual (interest, one-offs) −1.2 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).

300283 screens 91% overvalued. Compare with Contemporary Amperex Technology Co →

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Cite: Fair Value Calculator (2026). "Wenzhou Hongfeng Electrical Alloy Co Fair Value". https://www.fairvalue-calculator.com/stock/300283

Peer Group

Electrical Equipment & Parts · 525 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 42 · Bottom 25%
Fair Value upside −91% · Bottom 25%
Return on equity (TTM) 6% · Below median
Return on assets 5% · Above median
Net margin (TTM) 2% · Below median
Operating margin (TTM) 9% · Above median
Revenue growth 110% · Top 25%
Dividend yield (TTM) 0.1% · Bottom 25%
Debt / equity 0.55× · Higher than 75% of peers

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

P/E (TTM) 72.9× · Pricier than 75% of peers
P/B 8.22× · Pricier than 75% of peers
P/S (TTM) 2.08× · Pricier than median
EV/EBITDA 25.0× · 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 0
FUTURE 100 · sector 57
PAST 25 · sector 27
HEALTH 73 · sector 97
DIVIDEND 2 · sector 20

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 Electrical Equipment & Parts stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Contemporary Amperex Technology Co 3750 HK$652.50 HK$394.19 -40%
Delta Electronics (Thailand) Public Company DELTA 269.00 THB 40.28 THB -85%
LG Energy Solution, Ltd 373220 365,500 KRW 201,455 KRW -45%
WEG S.A WEGE3 14,900 ARS 4,338 ARS -71%
Sungrow Power Supply Co 300274 ¥117.53 ¥123.83 +5%
HD Hyundai Electric Co 267260 782,000 KRW 371,133 KRW -53%
LS ELECTRIC Co 010120 208,500 KRW 29,594 KRW -86%
Hyosung Heavy Industries Corporation 298040 2,892,000 KRW 1,013,099 KRW -65%
Hitachi Energy India Limited POWERINDIA ₹35,800 ₹6,106 -83%
Polycab India Limited POLYCAB ₹9,289 ₹3,218 -65%

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Frequently asked questions

Is Wenzhou Hongfeng Electrical Alloy Co (300283) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ¥1.21 versus a price of ¥13.85, about −91% (overvalued).
What is the fair value of 300283?
Our model-based fair value for Wenzhou Hongfeng Electrical Alloy Co is ¥1.21 (as of Aug 13, 2026), built from audited fundamentals. The current price is ¥13.85.
What is the quality score of 300283?
Wenzhou Hongfeng Electrical Alloy Co has a Quality Score of 42/100. 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 Wenzhou Hongfeng Electrical Alloy Co (300283)?
Wenzhou Hongfeng Electrical Alloy Co reported trailing-twelve-month revenue of about 4.4B CNY (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 300283?
The net profit margin of Wenzhou Hongfeng Electrical Alloy Co is about 2.2%, meaning it keeps roughly 2.2% of revenue as net income. Based on the latest reported figures.
Does Wenzhou Hongfeng Electrical Alloy Co pay a dividend?
Wenzhou Hongfeng Electrical Alloy Co currently shows a dividend yield of about 0.08% relative to its recent price (as of Aug 13, 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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