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Kunshan Asia Aroma Corp (301220) Fair Value & Analysis

Basic Materials · CN · Market cap 4.1B CNY

KA Kunshan Asia Aroma Corp 301220 · SHE
Price¥28.10
Fair Value¥11.70
Upside-58.4%
Quality43/100
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Expensive Growth
Thin margins · 4.5% net margin
Low debt · negative free cash flow
0.42% dividend yield
Trails peers (4/13)
Narrow moat 33/100
Evidence: Medium Range ¥8.78 – ¥14.63 Share as image

Fair value as of: Jul 9, 2026

From 14 valuation models · updated 32 days ago

Share price −11.2% over the past month.

Below-average quality, and screening another 58% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥14.63). The favourable scenario is already priced in.
  • Weak quality (43/100) 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 (4 years)

¥62.85 ¥16.14 Fair Value ¥11.70 Jun 2022 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

50‑month range ¥16.14 – ¥62.85 · fair‑value band ¥8.78 – ¥14.63 · the ¥28.10 price screens above the ¥11.70 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

Kunshan Asia Aroma Corp (301220) currently trades at ¥28.10, while our model-based Fair Value estimate is ¥11.70, implying the stock looks roughly 58.4% overvalued today. The Quality Score stands at 43/100 (below-average quality), in the Basic Materials 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, Kunshan Asia Aroma Corp generated revenue of 1.1B CNY at a net margin of 4.5%. Revenue grew 21.6% year over year. It earns a return on equity of 2.7%. Net debt stands at 347M CNY. Fundamentals as of Jul 9, 2026

Our scenario range runs from ¥8.78 (bear case) to ¥14.63 (bull case); at ¥28.10, 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 46% below its 52-week high, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -46% fair-value upside, at -58%, 301220 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.

Model BearBaseBull Evidence
Highest evidence
Residual Income ¥12.29 ¥12.74 ¥13.09 76
ROIC Compounder ¥5.66 ¥6.57 ¥7.35 72
Growth-Adj P/E ¥17.51 ¥25.01 ¥32.51 68
All 14 models by family
Earnings-Based
Graham-Dodd ¥6.97 ¥47.02 ¥65.90 54
Lynch FV ¥13.78 ¥19.69 ¥25.59 50
PEG = 1.0 ¥13.78 ¥19.69 ¥25.59 46
EPV ¥5.66 ¥6.57 ¥7.35 59
Multiples
P/E Multiple ¥13.07 ¥17.43 ¥21.79 63
P/S Multiple ¥10.33 ¥13.77 ¥17.21 58
P/B Multiple ¥13.07 ¥17.43 ¥21.79 55
EV/EBIT ¥8.32 ¥11.12 ¥13.92 53
EV/EBITDA ¥10.43 ¥13.94 ¥17.44 54
EV/Revenue ¥7.20 ¥10.32 ¥13.44 43
Asset-Based
NCAV (Graham) ¥7.79 ¥10.44 ¥15.58 50
Economic Profit
Residual Income ¥12.29 ¥12.74 ¥13.09 76
ROIC Compounder ¥5.66 ¥6.57 ¥7.35 72
Growth Earnings
Growth-Adj P/E ¥17.51 ¥25.01 ¥32.51 68

Widest divergence: Growth Earnings (¥25.01) versus Economic Profit (¥6.57). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 1.1B CNY
Revenue growth (YoY) +21.6%
Net margin 4.5%
Return on equity 2.7%
Free cash flow −126M CNY FY2025
P/E ratio 83.8
More key figures
Operating margin 7.8%
EPS (TTM) ¥0.4300
Dividend yield 0.4%
EPS growth (YoY) -82.2%
Net debt 347M CNY FY2025

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

Quality Score breakdown

Overall quality 43/100

Of which business quality 45 · Market factors (momentum, volatility) 26

Profitability 33
Margins and returns on capital today
Quality Growth 68
Are margins and returns improving?
Cashflow 11
Earnings quality: real cash, not paper profit
Fin. Strength 80
Balance sheet, leverage, solvency risk
Investment 36
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 12
Price trend over the last 3–12 months (market factor)
52W Momentum 0
Distance to the 52-week high (market factor)
Net Issuance 42
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

Kunshan Asia Aroma Corp., Ltd. engages in the research and development, production, and sale of spices and food additives in China.

Full company description

Kunshan Asia Aroma Corp., Ltd. engages in the research and development, production, and sale of spices and food additives in China. It offers natural ingredients, which include Acetaldehyde NAT, Octanal NAT, Nonanal NAT, 2-Methylbutyric Acid NAT, Ethyl 2-Methylbutyrate NAT, Vanillin Ex Eugenol NAT, Vanillin Ex Ferulic Acid NAT, Leaf alcohol NAT, Cis-3-Hexenyl Acetate NAT, Cis-3-Hexenyl Butyrate NAT, Citral NAT, a-Ionone NAT, Benzyl Alcohol NAT, Benzaldehyde NAT, Phenylacetic Acid NAT, Phenethyl Alcohol NAT, Methyl Cinnamate NAT, Cocoa Hexenal NAT, Succinic Acid NAT, Diethyl Succinate NAT, Linalool NAT, Raspberry Ketone NAT, Methyl Cyclopentenolone NAT, Maltol NAT, and Melonal NAT. It also provides synthetics ingredients, which includes Ligustral, Allyl Amyl Glycolate, Iso Amyl Acetate, Methyl Pamplemousse, Methyl Atratate, Dimetol, Cyclogalbanate, Fraistone, Leaf alcohol, Cis-3-Hexenyl Acetate, and Cis-3-Hexenyl Salicylate; and cooling products, Menthol Carboxamide and Menthyl Lactate. Its products are used in various industries such as food, tobacco, daily chemicals, medicine, feed, cosmetics, textiles, and leather. The company also exports its products to the United States, Japan, Europe, and internationally. The company was founded in 1996 and is based in Kunshan, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Kunshan Asia Aroma Corp reported revenue of ¥1.0B in FY2025 versus ¥621M in FY2021, a compound +13.6%/yr. Reported net income was ¥116M in FY2025, compounding +6.1%/yr from FY2021.

Growth Quality 49/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
1.0B CNY
Latest YoY
+29.9%
Avg. growth/yr (3Y)
+13.6%
Avg. growth/yr (5Y)
+12.5%
Avg. growth/yr (6Y)
+12.5%
Revenue +13.6%/yr
FY21 ¥621M
FY22 ¥705M
FY23 ¥630M
FY24 ¥797M
FY25 ¥1.0B
Net income +6.1%/yr
FY21 ¥91.4M
FY22 ¥132M
FY23 ¥80.2M
FY24 ¥55.7M
FY25 ¥116M

301220 screens 58% overvalued. Compare with BASF SE →

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Cite: Fair Value Calculator (2026). "Kunshan Asia Aroma Corp Fair Value". https://www.fairvalue-calculator.com/stock/301220

Peer Group

Chemicals · 334 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 43 · Below median
Fair Value upside −58% · Bottom 25%
Return on equity (TTM) 3% · Below median
Return on assets 2% · Below median
Net margin (TTM) 5% · Above median
Operating margin (TTM) 8% · Above median
Revenue growth 22% · Top 25%
Dividend yield (TTM) 0.4% · Bottom 25%
Debt / equity 0.10× · Lower than median

Valuation Multiples vs Chemicals median · lower = cheaper

P/E (TTM) 83.8× · Pricier than 75% of peers
P/B 2.31× · Pricier than median
P/S (TTM) 3.72× · Pricier than 75% of peers
EV/EBITDA 30.4× · Pricier 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 0 · sector 0
FUTURE 100 · sector 20
PAST 11 · sector 19
HEALTH 95 · sector 94
DIVIDEND 8 · sector 27

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

Stock Price Fair Value vs Fair Value
BASF SE BASN 1,034 MXN 532.13 MXN -49%
Ningxia Baofeng Energy Group 600989 ¥20.32 ¥20.17 -1%
Zhejiang Juhua Co 600160 ¥42.85 ¥23.35 -46%
PT Barito Pacific Tbk, BRPT 1,690 IDR 1,628 IDR -4%
LG Chem, Ltd 051910 260,500 KRW 587,755 KRW +126%
Formosa Chemicals & Fibre Corporation 1326 66.10 TWD 6.79 TWD -90%
PTT Global Chemical Public Company PTTGC 35.50 THB 18.21 THB -49%
542812 542812 ₹4,369 ₹791.05 -82%
Indorama Ventures Public Company IVL 24.50 THB 17.95 THB -27%
Navin Fluorine International Limited NAVINFLUOR ₹8,650 ₹2,146 -75%

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Frequently asked questions

Is Kunshan Asia Aroma Corp (301220) overvalued or undervalued?
As of Jul 9, 2026, our model estimates a fair value of ¥11.70 versus a price of ¥28.10, about −58% (overvalued).
What is the fair value of 301220?
Our model-based fair value for Kunshan Asia Aroma Corp is ¥11.70 (as of Jul 9, 2026), built from audited fundamentals. The current price is ¥28.10.
What is the quality score of 301220?
Kunshan Asia Aroma Corp has a Quality Score of 43/100. 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 Kunshan Asia Aroma Corp (301220)?
Kunshan Asia Aroma Corp reported trailing-twelve-month revenue of about 1.1B CNY (latest available figure, as of Jul 9, 2026).
What is the net profit margin of 301220?
The net profit margin of Kunshan Asia Aroma Corp is about 4.5%, meaning it keeps roughly 4.5% of revenue as net income. Based on the latest reported figures.
Does Kunshan Asia Aroma Corp pay a dividend?
Kunshan Asia Aroma Corp currently shows a dividend yield of about 0.42% 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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