Huabao Flavours & Fragrances Co Ltd Class A (300741) fair value: what the stock is really worth
As of Oct 23, 2026: fair value (intrinsic value) of Huabao Flavours & Fragrances Co Ltd Class A stock ¥8.70, price ¥19.32, upside -55.0%, quality 61 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
Fair value above price?No
Good quality?Yes
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 24, 2026.
How to read this chart
60‑month range ¥12.10 – ¥65.01 · fair‑value band ¥7.98 – ¥9.40 · the ¥19.32 price screens above the ¥8.70 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Oct 24, 2026.
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Huabao Flavours & Fragrances Co., Ltd. engages in research and development, production, sale, and service of flavors and food ingredients to the food, beverages, tobacco, and daily chemicals industries in China and internationally.
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It operates through three divisions: Food Flavors, Daily Fragrance, and Food Ingredients.
The company offers products in the fields of sweet flavoring and savory flavoring that are used in used in dairy products, beverages, frozen drinks, candies, nuts and seeds, puffed food, baking, meat products, and snack food.
It also provides noodle products; popping boba, crystal balls, and jams; edible flavorings, food ingredients, and daily chemical flavorings used in food and beverage, tobacco, health products, catering, daily chemicals, and other industries; and fruit and vegetable, milk, floral, whole grain, tea, flavor profiles, and meat flavorings used in dairy products, beverages, confectionery, baking, meat products, snack food, and new-style tea drinks, as well as provision of technical services.
The company offers its products under the Huabao, Peacock, Jiacui, Tianhong, HEDON, Xiden, Yifang, Owada, H&K Flavor, Jiapin Jiawei, and Amber brands.
The company was formerly known as Huabao Food Flavours & Fragrances (Shanghai) Co., Ltd. and changed its name to Huabao Flavours & Fragrances Co., Ltd. in 2016. The company was founded in 1996 and is based in Shanghai, China.
Huabao Flavours & Fragrances Co., Ltd. operates as a subsidiary of Huabao International Holdings Limited.
Stock analysis
Huabao Flavours & Fragrances Co Ltd Class A (300741) currently trades at ¥19.32, while our model-based Fair Value estimate is ¥8.70, 55.0% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Asset-Based group reads highest at a median of ¥8.17 per share, and 1 of the 24 models we run sit above the ¥19.32 price.
Bear case: the Dividend Discount group reads lowest at ¥0.9900, and 23 of the 24 models stay below the price. Data coverage for this calculation is medium.
Scenario range: ¥7.98 (bear) to ¥9.40 (bull), the price of ¥19.32 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 61/100 (solid quality), in the Basic Materials sector.
Weak Growth: Revenue is shrinking: the last year, the last three and the last five years are all negative.
Huabao Flavours & Fragrances Co Ltd Class A reported revenue of 1.3B CNY in FY2025 versus 1.9B CNY in FY2021, a compound −9.0%/yr. Reported net income was 83.8M CNY in FY2025, compounding −46.3%/yr from FY2021.
Key figures
Market cap 11.9B CNY (≈ $1.8B) Small · P/E ratio 64.4 · P/S ratio 8.15 · EPS (TTM) ¥0.3000 · Dividend yield 0.8% · Net margin 12.4% · Return on equity 2.3% · Return on assets (EBIT) 5.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 34 out of 100 (low confidence).
What moves the price
The share trades about 35% below its 52-week high and 60% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Basic Materials peers we cover trades at −55% fair-value upside, at −55%, 300741 screens cheaper than that median.
Fair Value models
The price assumes far more growth than our models allow for, so the models scatter widely (¥0.9900 to ¥28.51). Read the Fair Value as a cautious anchor, not a price target; the Growth Forecast section shows what the price assumes.
Bear¥7.98Fair Value ¥8.70Bull¥9.40
Price ¥19.32 · Upside -55.0%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (¥0.1143 per share) are deliberately not added.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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue is shrinking: the last year, the last three and the last five years are all negative.
Revenue growth 1 year
−2.0%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−11.1%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−8.7%
Start year 2020 (pandemic). Over 10 years: −7.2% a year
Revenue growth 11 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−7.7%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−40.3%
Earnings growth per share plus dividend.
Earnings per share, growth per year−41.1%
Dividend (yield on the price)0.8%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−41.1% vs −25.1%, slowing
Profit margin 2014 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.55% → 0%
Pace: the 5-year rate starts in 2020 (pandemic)
⚠ Revenue per share shrinking 8.9%/yr over ~9Y (margins eroding too) ⓘStructural-decline marker: revenue PER SHARE has fallen over the last decade (robust median trend, not a single year). Backtested across 2005 to 2017, such businesses trailed the market by about 2.5 percentage points per year. Display only: it does not change the fair value or the quality score.
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+23.4%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (China: IMF forecast 1.7% a year to 2030, 1.4% from 2016 to 2025) that is about +21.4% a year for the price.
Compare Huabao Flavours & Fragrances Co Ltd Class A with another stock
Price, fair value, quality and upside side by side.
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Peer Groupⓘ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.Specialty Chemicals · 709 stocks
Beats the industry median on 4/13 measures
Overall it trails its industry peers.
Valuation
Quality Score61 · Above median
Fair Value upside−55.0% · Below median
Profitability
Return on equity (12 months)2.3% · Below median
Return on assets1.1% · Below median
Net margin (12 months)12.4% · Top 25%
Operating margin (12 months)3.5% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)27.8% · Top 25%
Dividend yield (12 months)0.8% · Below median
Balance sheet
Debt / equity0.01× · Lowest 25%
Valuation Multiplesvs Specialty Chemicals median · lower = cheaper
P/E (12 months)64.4× · Priciest 25%
P/B1.75× · Pricier than median
P/S (12 months)8.15× · Priciest 25%
Price / free cash flow74.4× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 1
FUTURE (revenue growth)100· sector 61
PAST (return on equity)9· sector 26
HEALTH (low debt)100· sector 95
DIVIDEND (yield)17· sector 30
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Huabao Flavours & Fragrances Co Ltd Class A Fair Value". https://www.fairvalue-calculator.com/stock/300741
Frequently asked questions
Is Huabao Flavours & Fragrances Co Ltd Class A (300741) overvalued or undervalued?
As of Oct 24, 2026, our model estimates a fair value of ¥8.70 versus a price of ¥19.32, about −55% upside (overvalued).
What is the fair value of 300741?
Our model-based fair value for Huabao Flavours & Fragrances Co Ltd Class A is ¥8.70 (as of Oct 24, 2026), built from audited fundamentals. The current price: ¥19.32.
What is the quality score of 300741?
Huabao Flavours & Fragrances Co Ltd Class A has a Quality Score of 61/100. 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 price target for Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Our model-based price target is the fair value of ¥8.70 (as of Oct 24, 2026) from 24 valuation models. Cautious scenario ¥7.98, optimistic scenario ¥9.40. It is a calculation from audited fundamentals, not an analyst target.
What is the Huabao Flavours & Fragrances Co Ltd Class A stock forecast for 2026?
Our models put fair value at ¥8.70, about −55% upside versus a price of ¥19.32 (overvalued). Cautious scenario ¥7.98, optimistic scenario ¥9.40. The calculation is refreshed regularly with new filings.
What is the revenue of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Huabao Flavours & Fragrances Co Ltd Class A reported trailing-twelve-month revenue of about 1.5B CNY (latest available figure, as of Oct 24, 2026).
Does Huabao Flavours & Fragrances Co Ltd Class A pay a dividend?
Huabao Flavours & Fragrances Co Ltd Class A currently shows a dividend yield of 0.83% relative to its recent price (as of Oct 24, 2026).
What growth is priced into Huabao Flavours & Fragrances Co Ltd Class A (300741)?
For today's price to be fair in a discounted-cash-flow model, Huabao Flavours & Fragrances Co Ltd Class A would have to grow free cash flow by +23.4 % per year for five years (discount rate 9.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew -8.7 % per year. As of Oct 24, 2026.
What discount rate (WACC) does the fair value of 300741 use?
Our models discount Huabao Flavours & Fragrances Co Ltd Class A at 9.1 %: a base by market capitalisation (mid), damped by beta 0.34, country premium for China. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Huabao Flavours & Fragrances Co Ltd Class A that is +23.4 % per year a year over ten years, using the same discount rate (9.1 %) and the same formula as our fair value.
How much growth has Huabao Flavours & Fragrances Co Ltd Class A (300741) delivered so far?
Over the past 5 years revenue at Huabao Flavours & Fragrances Co Ltd Class A grew -8.7 % a year. The price currently implies +23.4 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Huabao Flavours & Fragrances Co Ltd Class A (300741) growing?
The median revenue growth in the sector is +9.5 % a year. That is the yardstick for the growth priced into Huabao Flavours & Fragrances Co Ltd Class A (+23.4 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The free-cash-flow yield on the price is 1.34 %: that much free cash flow Huabao Flavours & Fragrances Co Ltd Class A produces per unit of market value. When it exceeds the discount rate of our models (9.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Huabao Flavours & Fragrances Co Ltd Class A it is ¥8.70 per share (as of Oct 24, 2026), against a price of ¥19.32. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is Huabao Flavours & Fragrances Co Ltd Class A stock overvalued or undervalued in 2026?
As of Oct 24, 2026, 300741 trades above its calculated fair value: price ¥19.32, fair value ¥8.70, a gap of about −55% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 300741?
No. The price is what the market pays today (¥19.32); the fair value is what the company's own numbers justify (¥8.70). For Huabao Flavours & Fragrances Co Ltd Class A the two are ¥10.62 per share apart. That gap is exactly why we show both numbers side by side.
How much is Huabao Flavours & Fragrances Co Ltd Class A worth?
The market values Huabao Flavours & Fragrances Co Ltd Class A at about 11.9B CNY (market capitalisation, as of Oct 24, 2026). Per share that is ¥19.32; our models calculate a fair value of ¥8.70 per share.
What do the bullish and bearish scenarios say about 300741?
Our models span a range for Huabao Flavours & Fragrances Co Ltd Class A: cautious scenario ¥7.98, base ¥8.70, optimistic ¥9.40 per share (as of Oct 24, 2026, price ¥19.32). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 300741?
Huabao Flavours & Fragrances Co Ltd Class A trades at a price-to-earnings ratio of 64.4 (as of Oct 24, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ¥8.70 is built from several models across several years. Other multiples: P/B 1.8, P/S 8.1.
How solid is the balance sheet of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Balance-sheet figures for Huabao Flavours & Fragrances Co Ltd Class A (as of Oct 24, 2026): return on equity 2.3%, debt of 0.01 per unit of equity. They feed the Quality Score of 61/100, which measures business quality independently of the share price.
How far is 300741 from its 52-week high?
Huabao Flavours & Fragrances Co Ltd Class A trades at ¥19.32, about 35% below its 52-week high of ¥29.59 and 60% above the low of ¥12.10 (as of Oct 23, 2026). Distance from the high says nothing about value: that is what the fair value of ¥8.70 is for.
Which stocks are comparable to Huabao Flavours & Fragrances Co Ltd Class A?
From the same area (Basic Materials) we also value Linde plc, The Sherwin-Williams Company, Ecolab Inc, Nan Ya Plastics Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Huabao Flavours & Fragrances Co Ltd Class A stock attractive at the current price?
The data as of Oct 24, 2026: price ¥19.32, calculated fair value ¥8.70 (−55%), Quality Score 61/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 300741 calculated?
We run Huabao Flavours & Fragrances Co Ltd Class A through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of ¥8.70, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 12.3 % above its aggregate fair value. Huabao Flavours & Fragrances Co Ltd Class A itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The closing price on Oct 23, 2026 was ¥19.32. Our model-based fair value is ¥8.70, about −55% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Huabao Flavours & Fragrances Co Ltd Class A right now?
The price sits above even our optimistic bull case (¥9.40). The favourable scenario is already priced in. Solid but not exceptional quality (61/100) and above fair value, neither a clear bargain nor a standout compounder.
Where does the earnings growth of Huabao Flavours & Fragrances Co Ltd Class A (300741) come from?
Earnings per share at Huabao Flavours & Fragrances Co Ltd Class A grew −18.5 % a year from 2014 to 2025. Broken into its drivers: revenue per share −8.2 %, EBIT margin −12.7 %, tax rate −0.5 %, residual (interest, one-offs) +2.1 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Huabao Flavours & Fragrances Co Ltd Class A
How large is the market capitalisation of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The market capitalisation of Huabao Flavours & Fragrances Co Ltd Class A is 11.9B CNY (≈ $1.8B). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The price-to-sales ratio of Huabao Flavours & Fragrances Co Ltd Class A is 8.15 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Earnings per share at Huabao Flavours & Fragrances Co Ltd Class A are ¥0.3000 (price ÷ EPS = P/E 64.4). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The dividend yield of Huabao Flavours & Fragrances Co Ltd Class A is 0.8% (payout 53.3%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The net margin of Huabao Flavours & Fragrances Co Ltd Class A is 12.4% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The return on equity (ROE) of Huabao Flavours & Fragrances Co Ltd Class A is 2.3% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
On an EBIT basis the return on assets of Huabao Flavours & Fragrances Co Ltd Class A is 5.0% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Huabao Flavours & Fragrances Co Ltd Class A (300741)?
The operating margin of Huabao Flavours & Fragrances Co Ltd Class A is 3.5% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Revenue at Huabao Flavours & Fragrances Co Ltd Class A is growing +27.8% versus a year earlier (3y avg −11.1%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Huabao Flavours & Fragrances Co Ltd Class A (300741)?
Earnings per share at Huabao Flavours & Fragrances Co Ltd Class A are growing −12.5% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Huabao Flavours & Fragrances Co Ltd Class A (300741) hold?
Huabao Flavours & Fragrances Co Ltd Class A holds more cash than debt, 1.3B CNY net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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Oct 24, 2026