State Grid Information & Communication Co (600131) Fair Value & Analysis

Utilities · CN · Market cap 19.4B CNY

A solid business, but screening 40% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case (¥11.64). The favourable scenario is already priced in.
• Solid but not exceptional quality (69/100) 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 ¥10.53 – ¥24.89 · fair‑value band ¥6.99 – ¥11.64 · the ¥15.50 price screens above the ¥9.31 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 6, 2026.

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Analysis

State Grid Information & Communication Co (600131) currently trades at ¥15.50, while our model-based Fair Value estimate is ¥9.31, implying the stock looks roughly 39.9% overvalued today. The Quality Score stands at 69/100 (solid quality), in the Utilities 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, State Grid Information & Communication Co generated revenue of 10.6B CNY at a net margin of 6.2%. Revenue declined 3.1% year over year. It earns a return on equity of 10.1%. The balance sheet holds a net cash position of 2.7B CNY. Fundamentals as of Aug 6, 2026

Our scenario range runs from ¥6.99 (bear case) to ¥11.64 (bull case); at ¥15.50, 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 36% below its 52-week high and 7% above its 52-week low, currently below its 200-day average. For context, the median of 10 Utilities peers we cover trades at -30% fair-value upside, at -40%, 600131 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.

Widest divergence: DCF Models (¥22.66) versus Asset-Based (¥3.59). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

State Grid Information & Communication Co., Ltd. provides information and communication service. The company offers full lifecycle solutions covering pre-construction consultation, design refinement, project management and implementation, and system integration; value-added data center operation services, including rack rental, server hosting, virtual space …

Full company description

State Grid Information & Communication Co., Ltd. provides information and communication service. The company offers full lifecycle solutions covering pre-construction consultation, design refinement, project management and implementation, and system integration; value-added data center operation services, including rack rental, server hosting, virtual space rental, and video services for power energy, finance, government, and internet sectors; integrated air-space-ground communication network sectors; integrated air-space-ground communication network; and services for communication products, communication network planning, construction, operation and maintenance, and other services. It also provides cloud-edge-device collaborative power-specific IoT operating system; enterprise business middle platform operation; high-security quantum secure communication service; enterprise resource management and consulting services; state grid digital identity construction; digital technology innovation services; and smart logistics support system. In addition, the company offers AI-based comprehensive safety supervision and management platform; AI collaborative application; state grid online; and marketing 2.0 smart marketing system. Further, it provides zero-carbon park operation and management platform; national carbon emission monitoring and analysis service platform; smart hydropower products; and green certificate trading platform. The company was founded in 1997 and is headquartered in Chengdu, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

State Grid Information & Communication Co reported revenue of ¥10.6B in FY2025 versus ¥7.5B in FY2021, a compound +9.2%/yr. Reported net income was ¥619M in FY2025, compounding −2.2%/yr from FY2021.

600131 screens 40% overvalued. Compare with China Yangtze Power Co →

Peer Group

Utilities - Renewable · 220 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 Utilities - Renewable 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.

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Frequently asked questions

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.