China Meheco Group (600056) Fair Value & Analysis
Healthcare · CN · Market cap 14.0B CNY
Fair value as of: Aug 6, 2026
From 26 valuation models · updated 4 days ago
Share price +3.3% over the past month.
A solid business, but screening 29% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (¥8.30). The favourable scenario is already priced in.
- Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 6, 2026.
How to read this chart
60‑month range ¥7.33 – ¥28.08 · fair‑value band ¥4.98 – ¥8.30 · the ¥9.40 price screens above the ¥6.64 fair value. Dashed = 300-day average. As of Aug 6, 2026.
Analysis
China Meheco Group (600056) currently trades at ¥9.40, while our model-based Fair Value estimate is ¥6.64, implying the stock looks roughly 29.4% overvalued today. The Quality Score stands at 57/100 (solid quality), in the Healthcare 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, China Meheco Group generated revenue of 35.0B CNY at a net margin of 1.4%. Revenue declined 4.0% year over year. It earns a return on equity of 4.7%. Net debt stands at 561M CNY. Fundamentals as of Aug 6, 2026
Our scenario range runs from ¥4.98 (bear case) to ¥8.30 (bull case); at ¥9.40, 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 25% below its 52-week high and 6% above its 52-week low, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at 2% fair-value upside, at -29%, 600056 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.
All 26 models by family
Widest divergence: Growth DCF (¥17.29) versus Dividend Discount (¥3.27). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 6, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 55 · Market factors (momentum, volatility) 42
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
China Meheco Group Co., Ltd. engages in the manufacture, marketing, and trade of pharmaceuticals and medical devices in China and internationally. The company is involved in the planting and sale of Chinese medicinal materials, as well as the provision of related technical and warehousing services.
Full company description
China Meheco Group Co., Ltd. engages in the manufacture, marketing, and trade of pharmaceuticals and medical devices in China and internationally. The company is involved in the planting and sale of Chinese medicinal materials, as well as the provision of related technical and warehousing services. Its drug products cover therapeutic fields, such as anti-infection, cardiovascular, hormones and endocrine regulation, respiratory and digestive systems, nutritional supplements, antipyretic analgesics, and other therapeutic areas as well as Chinese herbal medicine processing and decoction pieces. The company was founded in 1983 and is based in Beijing, China.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
China Meheco Group reported revenue of ¥35.4B in FY2025 versus ¥36.2B in FY2021, a compound −0.6%/yr. Reported net income was ¥473M in FY2025, compounding −7.5%/yr from FY2021.
600056 screens 29% overvalued. Compare with McKesson Corporation →
Peer Group
Medical Distribution · 81 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.
Valuation Multiples vs Medical Distribution median · lower = cheaper
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: 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.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Medical Distribution stocks, each showing price versus our Fair Value estimate (as of Aug 6, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| McKesson Corporation MCK | $805.96 | $819.31 | +2% |
| Cencora, Inc COR | $303.44 | $175.74 | -42% |
| Cardinal Health, Inc CAH | $224.94 | $141.77 | -37% |
| Henry Schein, Inc HSIC | $87.82 | $74.67 | -15% |
| Shanghai Pharmaceuticals Holding 601607 | ¥16.70 | ¥33.96 | +103% |
| Sinopharm Group 1099 | HK$16.74 | HK$61.33 | +266% |
| Galenica AG GALE | CHF 87.05 | CHF 61.79 | -29% |
| Guangzhou Baiyunshan Pharmaceutical Holdings 600332 | ¥21.50 | ¥28.65 | +33% |
| Jointown Pharmaceutical Group 600998 | ¥4.99 | ¥9.84 | +97% |
| Asker Healthcare Group ASKER | kr 79.45 | kr 25.69 | -68% |
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Frequently asked questions
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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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