Hang Zhou Iron & Steel Co Ltd (600126) fair value: what the stock is really worth
We calculate from audited financials what Hang Zhou Iron & Steel Co Ltd is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily.
Watch Hang Zhou Iron & Steel Co Ltd for free, get notified when fair value or trend changes. Plus fair value for all 35,000+ stocks, 14 days of Pro free, no card.Watch for free
Hang Zhou Iron & Steel Co.,Ltd. manufactures and sells steel products in China and internationally. It operates through Ferrous Metal Smelting and Rolling Processing; Raw Materials, Fuels, and Metals Trading; Renewable Resources; Digital Industry; and Others segments. The company offers hot-rolled coils and hot-rolled steel related products.
Show more
Hang Zhou Iron & Steel Co.,Ltd. manufactures and sells steel products in China and internationally. It operates through Ferrous Metal Smelting and Rolling Processing; Raw Materials, Fuels, and Metals Trading; Renewable Resources; Digital Industry; and Others segments. The company offers hot-rolled coils and hot-rolled steel related products. It also involved in production and sales of coke and its by-products; metallurgy and its by-products; technology development, cooperation, consulting, services, and training in metallurgy and coking; import and export business; construction; manufacturing, installation, and maintenance of lifting machinery, pressure vessels, pipelines, and other special equipment, as well as trades in hot-rolled steel coils, hot-rolled steel plates, iron ore, and other raw materials and fuels, as well as steel products. It serves cold-rolled steel, construction steel, container manufacturing, pipeline manufacturing, automobile manufacturing, shipbuilding, and die-cutting industries. Hang Zhou Iron & Steel Co.,Ltd. was founded in 1957 and is headquartered in Hangzhou, China.
Stock analysis
Hang Zhou Iron & Steel Co Ltd (600126) currently trades at ¥6.19, while our model-based Fair Value estimate is ¥6.95, implying the stock looks roughly 10.9% undervalued today.
Show more
Valuation
Bull case: the DCF Models group reads highest at a median of ¥6.58 per share, and 7 of the 23 models we run sit above the ¥6.19 price.
Bear case: the Economic Profit group reads lowest at ¥3.55, and 16 of the 23 models stay below the price. Evidence for this calculation is low.
Quality & growth
The Quality Score stands at 57/100 (solid quality), in the Basic Materials sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Hang Zhou Iron & Steel Co Ltd reported revenue of 52.3B CNY in FY2025 versus 50.0B CNY in FY2021, a compound +1.2%/yr. Reported net income was 24.1M CNY in FY2025, compounding −65.2%/yr from FY2021.
Key figures
Market cap 22.6B CNY (≈ $3.4B) · P/E ratio 309.5 · P/S ratio 0.14 · EPS (TTM) ¥0.0200 · Dividend yield 0.2% · Net margin 0.0% · Return on equity 0.4% · Return on assets (EBIT) 1.8%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 37 out of 100 (low confidence).
What moves the price
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 −24% fair-value upside, at 12%, 600126 screens cheaper than that median.
Fair Value models
Bear ¥6.95Fair Value ¥6.95Bull ¥6.95
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model. Based on fiscal year 2025 figures (about 8 months old). Earnings retained since then (¥0.0141 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.Evidence ⓘEvidence = 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.69/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−17.8%
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.
+6.5%
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.
+9.7%
Revenue growth 31 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.
+11.0%
’14
’15
’16
’17
’18
’19
’20
’21
’22
’23
’24
’25
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.
−53.6%
Earnings growth per share plus dividend.
Earnings per share, growth per year−53.8%
Dividend (yield on the price)0.2%
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.−54% vs −25%, slowing
Profit margin 2020 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.4% → 0%
Growth Forecast
Price in line with expectations
The price assumes about as much growth as 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).
+7.8%
Yearly growth needed for the next five years to justify today's price.
Compare Hang Zhou Iron & Steel Co Ltd with another stock
Price, fair value, quality and upside side by side.
Free, no sign-up
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.Steel · 407 stocks
Beats the industry median on 3/13 measures
Overall it trails its industry peers.
Valuation
Quality Score57 · Top 25%
Profitability
Return on equity (TTM)0% · Below median
Return on assets0% · Below median
Net margin (TTM)0% · Below median
Operating margin (TTM)0% · Bottom 25%
Growth and dividend
Revenue growth−47% · Bottom 25%
Dividend yield (TTM)0.2% · Bottom 25%
Balance sheet
Debt / equity0.00× · Lowest 25%
Valuation Multiplesvs Steel median · lower = cheaper
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). "Hang Zhou Iron & Steel Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/600126
Frequently asked questions
Is Hang Zhou Iron & Steel Co Ltd (600126) overvalued or undervalued?
As of Sep 13, 2026, our model estimates a fair value of ¥6.95 versus a price of ¥6.19, about +12% upside (undervalued).
What is the fair value of 600126?
Our model-based fair value for Hang Zhou Iron & Steel Co Ltd is ¥6.95 (as of Sep 13, 2026), built from audited fundamentals. The current price: ¥6.19.
What is the quality score of 600126?
Hang Zhou Iron & Steel Co Ltd has a Quality Score of 57/100. 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 Hang Zhou Iron & Steel Co Ltd (600126)?
Our model-based price target is the fair value of ¥6.95 (as of Sep 13, 2026) from 23 valuation models. It is a calculation from audited fundamentals, not an analyst target.
What is the Hang Zhou Iron & Steel Co Ltd stock forecast for 2026?
Our models put fair value at ¥6.95, about +12% upside versus a price of ¥6.19 (undervalued). The calculation is refreshed regularly with new filings.
What is the revenue of Hang Zhou Iron & Steel Co Ltd (600126)?
Hang Zhou Iron & Steel Co Ltd reported trailing-twelve-month revenue of about 45.6B CNY (latest available figure, as of Sep 13, 2026).
Does Hang Zhou Iron & Steel Co Ltd pay a dividend?
Hang Zhou Iron & Steel Co Ltd currently shows a dividend yield of about 0.24% relative to its recent price (as of Sep 13, 2026).
What growth is priced into Hang Zhou Iron & Steel Co Ltd (600126)?
For today's price to be fair in a discounted-cash-flow model, Hang Zhou Iron & Steel Co Ltd would have to grow free cash flow by +7.8 % per year for five years (discount rate 10.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +9.7 % per year. As of Sep 13, 2026.
What discount rate (WACC) does the fair value of 600126 use?
Our models discount Hang Zhou Iron & Steel Co Ltd at 10.1 %: a base by market capitalisation (mid), damped by beta 0.88, 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 Hang Zhou Iron & Steel Co Ltd that is +7.8 % per year a year over ten years, using the same discount rate (10.1 %) and the same formula as our fair value.
How much growth has Hang Zhou Iron & Steel Co Ltd (600126) delivered so far?
Over the past 5 years revenue at Hang Zhou Iron & Steel Co Ltd grew +9.7 % a year. The price currently implies +7.8 % 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 Hang Zhou Iron & Steel Co Ltd (600126) growing?
The median revenue growth in the sector is +3.2 % a year. That is the yardstick for the growth priced into Hang Zhou Iron & Steel Co Ltd (+7.8 % 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 Hang Zhou Iron & Steel Co Ltd (600126)?
The free-cash-flow yield on the price is 4.44 %: that much free cash flow Hang Zhou Iron & Steel Co Ltd produces per unit of market value. When it exceeds the discount rate of our models (10.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Hang Zhou Iron & Steel Co Ltd (600126)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Hang Zhou Iron & Steel Co Ltd it is ¥6.95 per share (as of Sep 13, 2026), against a price of ¥6.19. It is the blended result of 23 valuation models (cash flow, earnings, asset, dividend).
Is Hang Zhou Iron & Steel Co Ltd stock overvalued or undervalued in 2026?
As of Sep 13, 2026, 600126 trades below its calculated fair value: price ¥6.19, fair value ¥6.95, a gap of about +12% (undervalued). 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 600126?
No. The price is what the market pays today (¥6.19); the fair value is what the company's own numbers justify (¥6.95). For Hang Zhou Iron & Steel Co Ltd the two are ¥0.7550 per share apart. That gap is exactly why we show both numbers side by side.
How much is Hang Zhou Iron & Steel Co Ltd worth?
The market values Hang Zhou Iron & Steel Co Ltd at about 22.6B CNY (market capitalisation, as of Sep 13, 2026). Per share that is ¥6.19; our models calculate a fair value of ¥6.95 per share.
What is the P/E ratio of 600126?
Hang Zhou Iron & Steel Co Ltd trades at a price-to-earnings ratio of 309.5 (as of Sep 13, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ¥6.95 is built from several models across several years. Other multiples: P/B 1.2, P/S 0.5, EV/EBITDA 13.1.
How solid is the balance sheet of Hang Zhou Iron & Steel Co Ltd (600126)?
Balance-sheet figures for Hang Zhou Iron & Steel Co Ltd (as of Sep 13, 2026): return on equity 0.4%, debt of 0.00 per unit of equity. They feed the Quality Score of 57/100, which measures business quality independently of the share price.
How far is 600126 from its 52-week high?
Hang Zhou Iron & Steel Co Ltd trades at ¥6.19, about 46% below its 52-week high of ¥11.44 (as of Sep 13, 2026). Distance from the high says nothing about value: that is what the fair value of ¥6.95 is for.
Which stocks are comparable to Hang Zhou Iron & Steel Co Ltd?
From the same area (Basic Materials) we also value Nucor Corporation, ArcelorMittal S.A, JSW Steel Limited, Steel Dynamics, Inc, 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 Hang Zhou Iron & Steel Co Ltd stock attractive at the current price?
The data as of Sep 13, 2026: price ¥6.19, calculated fair value ¥6.95 (+12%), Quality Score 57/100, from 23 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 600126 calculated?
We run Hang Zhou Iron & Steel Co Ltd through 23 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 ¥6.95, 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 15.8 % above its aggregate fair value. Hang Zhou Iron & Steel Co Ltd currently trades 12 % below its own fair value, and the market average says nothing about that. 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 should I pay attention to with Hang Zhou Iron & Steel Co Ltd right now?
The price is below even our cautious bear case (¥6.95). The market is more pessimistic than our downside scenario. Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.
Key figures of Hang Zhou Iron & Steel Co Ltd
How large is the market capitalisation of Hang Zhou Iron & Steel Co Ltd (600126)?
The market capitalisation of Hang Zhou Iron & Steel Co Ltd is 22.6B CNY (≈ $3.4B). 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 Hang Zhou Iron & Steel Co Ltd (600126)?
The price-to-sales ratio of Hang Zhou Iron & Steel Co Ltd is 0.14 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Hang Zhou Iron & Steel Co Ltd (600126)?
Earnings per share at Hang Zhou Iron & Steel Co Ltd are ¥0.0200 (price ÷ EPS = P/E 309.5). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Hang Zhou Iron & Steel Co Ltd (600126)?
The dividend yield of Hang Zhou Iron & Steel Co Ltd is 0.2% (payout 75.1%). 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 Hang Zhou Iron & Steel Co Ltd (600126)?
The net margin of Hang Zhou Iron & Steel Co Ltd is 0.0% (fiscal year 2025). 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 Hang Zhou Iron & Steel Co Ltd (600126)?
The return on equity (ROE) of Hang Zhou Iron & Steel Co Ltd is 0.4% (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 Hang Zhou Iron & Steel Co Ltd (600126)?
On an EBIT basis the return on assets of Hang Zhou Iron & Steel Co Ltd is 1.8% (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 Hang Zhou Iron & Steel Co Ltd (600126)?
The operating margin of Hang Zhou Iron & Steel Co Ltd is −0.1% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Hang Zhou Iron & Steel Co Ltd (600126)?
Revenue at Hang Zhou Iron & Steel Co Ltd is growing −46.7% versus a year earlier (3y avg +6.5%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How much net cash does Hang Zhou Iron & Steel Co Ltd (600126) hold?
Hang Zhou Iron & Steel Co Ltd holds more cash than debt, 6.0B CNY net (fiscal year 2024). The company holds more cash than debt, a safety cushion.
Free · no account needed
Watch Hang Zhou Iron & Steel Co Ltd in the live analysis
One click puts Hang Zhou Iron & Steel Co Ltd on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
