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CECEP Guozhen Environmental Protection Technology Co (300388) Fair Value & Analysis

Industrials · CN · Market cap 4.8B CNY

CG CECEP Guozhen Environmental Protection Technology Co 300388 · SHE
Price¥6.68
Fair Value¥10.31
Upside+54.3%
Quality44/100
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Weak Growth
Solidly profitable · 10.0% net margin
Moderate debt · negative free cash flow
1.34% dividend yield
Ranks above peers (9/13)
Moderate moat 49/100
Evidence: High Range ¥6.67 – ¥13.72 Share as image

Fair value as of: Jul 9, 2026

From 16 valuation models · updated 32 days ago

Share price −1.2% over the past month.

Below-average quality, screening 54% 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.
  • A fairly wide model range (¥6.67 to ¥13.72) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥10.31 ¥4.72 Fair Value ¥10.31 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 9, 2026.

How to read this chart

60‑month range ¥4.72 – ¥10.31 · fair‑value band ¥6.67 – ¥13.72 · the ¥6.68 price screens below the ¥10.31 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 9, 2026.

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Analysis

CECEP Guozhen Environmental Protection Technology Co (300388) currently trades at ¥6.68, while our model-based Fair Value estimate is ¥10.31, implying the stock looks roughly 54.3% 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: high), always confirm before acting.

Over the trailing twelve months, CECEP Guozhen Environmental Protection Technology Co generated revenue of 3.8B CNY at a net margin of 10.0%. Revenue grew 15.0% year over year. It earns a return on equity of 8.3%. Net debt stands at 6.0B CNY. Fundamentals as of Jul 9, 2026

Our scenario range runs from ¥6.67 (bear case) to ¥13.72 (bull case); at ¥6.68, 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 2% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -40% fair-value upside, at 54%, 300388 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
Residual Income ¥5.67 ¥6.02 ¥6.49 76
ROIC Compounder ¥2.91 ¥4.39 ¥5.67 72
Gordon GGM ¥4.15 ¥8.27 ¥12.52 70
All 16 models by family
Earnings-Based
Graham-Dodd ¥3.56 ¥11.43 ¥15.25 54
Lynch FV ¥2.54 ¥3.62 ¥4.71 50
PEG = 1.0 ¥2.54 ¥3.62 ¥4.71 46
EPV ¥2.91 ¥4.39 ¥5.67 59
Dividend Discount
Gordon GGM ¥4.15 ¥8.27 ¥12.52 70
DDM Multi-Stage ¥4.15 ¥6.84 ¥8.73 61
Multiples
P/E Multiple ¥8.23 ¥10.98 ¥13.72 63
P/S Multiple ¥6.67 ¥8.89 ¥11.11 58
P/B Multiple ¥6.67 ¥8.89 ¥11.11 55
EV/EBIT ¥8.58 ¥13.59 ¥18.59 53
EV/EBITDA ¥12.44 ¥18.73 ¥25.03 54
EV/Revenue ¥0.3500 ¥3.26 ¥6.17 43
Asset-Based
NCAV (Graham) ¥3.46 ¥4.63 ¥6.91 50
Economic Profit
Residual Income ¥5.67 ¥6.02 ¥6.49 76
ROIC Compounder ¥2.91 ¥4.39 ¥5.67 72
Growth Earnings
Growth-Adj P/E ¥6.89 ¥9.84 ¥12.79 68

Widest divergence: Growth Earnings (¥9.84) versus Earnings-Based (¥3.62). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 3.8B CNY
Revenue growth (YoY) +15.0%
Net margin 10.0%
Return on equity 8.3%
Free cash flow −244M CNY FY2025
P/E ratio 12.7
More key figures
Operating margin 21.7%
EPS (TTM) ¥0.5600
Dividend yield 1.3%
EPS growth (YoY) +32.7%
Net debt 6.0B CNY FY2025

Figures from reported company fundamentals · as of Jul 9, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 41 · Market factors (momentum, volatility) 38

Profitability 26
Margins and returns on capital today
Quality Growth 44
Are margins and returns improving?
Cashflow 43
Earnings quality: real cash, not paper profit
Fin. Strength 19
Balance sheet, leverage, solvency risk
Investment 48
Disciplined investing over empire-building
Low Volatility 75
Calm price path (market factor)
Momentum 26
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 86
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

CECEP Guozhen Environmental Protection Technology Co., Ltd. provides municipal and industrial wastewater treatment services in China. The company engages in the provision of treatment of water environment, municipal sewage, water environment in villages and towns, and comprehensive services of industrial water system, etc.

Full company description

CECEP Guozhen Environmental Protection Technology Co., Ltd. provides municipal and industrial wastewater treatment services in China. The company engages in the provision of treatment of water environment, municipal sewage, water environment in villages and towns, and comprehensive services of industrial water system, etc. It also operates and manages municipal wastewater treatment plants; offers water environment management services, including technical consultation, scheme design, investment and financing management, operation, and maintenance; rural and township services; and pipeline operation, engineering construction, trenchless pipeline repair, smart pipeline construction, pipeline inspection and pollution source investigation, standardized operation and management of pumping stations, and other services. In addition, the company provides environmental assessment, process design, engineering contracting, water investment, engineering construction and operation management, and investment and financing services. Further, the company offers municipal single equipment, comprising perforated fine grid, inverted umbrella type aerator, fiber disc filter, Biovac-SBBR and Biovac-PMBR integrated wastewater treatment equipment, high-efficiency magnetic coagulation integrated equipment, high-efficiency sedimentation tank, denitrification deep bed filter, and sludge deep treatment system, as well as industrial equipment and technology. The company was founded in 1997 and is based in Hefei, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

CECEP Guozhen Environmental Protection Technology Co reported revenue of ¥3.7B in FY2025 versus ¥4.5B in FY2021, a compound −4.8%/yr. Reported net income was ¥356M in FY2025, compounding −0.7%/yr from FY2021.

Growth Quality 15/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
3.7B CNY
Latest YoY
−4.3%
Avg. growth/yr (3Y)
−3.6%
Avg. growth/yr (5Y)
−1.0%
Avg. growth/yr (14Y)
+15.9%
Revenue −4.8%/yr
FY21 ¥4.5B
FY22 ¥4.1B
FY23 ¥4.1B
FY24 ¥3.8B
FY25 ¥3.7B
Net income −0.7%/yr
FY21 ¥367M
FY22 ¥405M
FY23 ¥392M
FY24 ¥367M
FY25 ¥356M

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Cite: Fair Value Calculator (2026). "CECEP Guozhen Environmental Protection Technology Co Fair Value". https://www.fairvalue-calculator.com/stock/300388

Peer Group

Waste Management · 169 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 +54% · Top 25%
Return on equity (TTM) 8% · Above median
Return on assets 2% · Above median
Net margin (TTM) 10% · Above median
Operating margin (TTM) 22% · Top 25%
Revenue growth 15% · Above median
Dividend yield (TTM) 1.3% · Below median
Debt / equity 1.12× · Higher than 75% of peers

Valuation Multiples vs Waste Management median · lower = cheaper

P/E (TTM) 12.7× · Cheaper than median
P/B 1.03× · Cheaper than median
P/S (TTM) 1.28× · Pricier than median
EV/EBITDA 7.8× · 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 100 · sector 10
FUTURE 75 · sector 21
PAST 33 · sector 24
HEALTH 44 · sector 82
DIVIDEND 27 · sector 30

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 Waste Management stocks, each showing price versus our Fair Value estimate (as of Jul 9, 2026).

Stock Price Fair Value vs Fair Value
Waste Management, Inc WM $233.33 $128.02 -45%
Republic Services, Inc RSG $219.20 $122.01 -44%
Waste Connections, Inc WCN C$242.43 C$78.67 -68%
Veolia Environnement SA VIE €37.51 €24.50 -35%
Clean Harbors, Inc CLH $303.64 $155.37 -49%
GFL Environmental Inc GFL C$55.40 C$94.12 +70%
Fomento de Construcciones y Contratas, S.A FCC €12.20 €7.30 -40%
GEM Co 002340 ¥6.32 ¥5.27 -17%
Zhejiang Weiming Environment Protection Co 603568 ¥16.18 ¥20.91 +29%
Cleanaway Waste Management Limited CWY A$2.34 A$1.18 -50%

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Frequently asked questions

Is CECEP Guozhen Environmental Protection Technology Co (300388) overvalued or undervalued?
As of Jul 9, 2026, our model estimates a fair value of ¥10.31 versus a price of ¥6.68, about +54% (undervalued).
What is the fair value of 300388?
Our model-based fair value for CECEP Guozhen Environmental Protection Technology Co is ¥10.31 (as of Jul 9, 2026), built from audited fundamentals. The current price is ¥6.68.
What is the quality score of 300388?
CECEP Guozhen Environmental Protection Technology 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 CECEP Guozhen Environmental Protection Technology Co (300388)?
CECEP Guozhen Environmental Protection Technology Co reported trailing-twelve-month revenue of about 3.8B CNY (latest available figure, as of Jul 9, 2026).
What is the net profit margin of 300388?
The net profit margin of CECEP Guozhen Environmental Protection Technology Co is about 10.0%, meaning it keeps roughly 10.0% of revenue as net income. Based on the latest reported figures.
Does CECEP Guozhen Environmental Protection Technology Co pay a dividend?
CECEP Guozhen Environmental Protection Technology Co currently shows a dividend yield of about 1.34% relative to its recent price (as of Jul 9, 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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