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Wanhua Chemical Group (600309) Fair Value & Analysis

Basic Materials · CN · Market cap 219B CNY

WC Wanhua Chemical Group 600309 · SHG
Price¥74.97
Fair Value¥68.03
Upside-9.3%
Quality49/100
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Expensive Growth
Thin margins · 6.2% net margin
Moderate debt · negative free cash flow
1.83% dividend yield
Ranks above peers (10/13)
Moderate moat 45/100
Evidence: High Range ¥51.02 – ¥85.04 Share as image

Fair value as of: Jul 20, 2026

From 16 valuation models · updated 18 days ago

Share price +5.5% over the past month.

Below-average quality, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from ¥51.02 (bear) to ¥85.04 (bull), base ¥68.03. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 49/100 (below-average quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

¥125.31 ¥52.53 Fair Value ¥68.03 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 20, 2026.

How to read this chart

60‑month range ¥52.53 – ¥125.31 · fair‑value band ¥51.02 – ¥85.04 · the ¥74.97 price screens above the ¥68.03 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 20, 2026.

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Analysis

Wanhua Chemical Group (600309) currently trades at ¥74.97, while our model-based Fair Value estimate is ¥68.03, implying the stock looks roughly 9.3% fairly valued today. We read business quality at 49/100 (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: high).

Over the trailing twelve months, Wanhua Chemical Group generated revenue of 214B CNY at a net margin of 6.2%. Revenue grew 25.5% year over year. It earns a return on equity of 13.0%. Net debt stands at 69.1B CNY. Fundamentals as of Jul 20, 2026

Our scenario range runs from ¥51.02 (bear case) to ¥85.04 (bull case); at ¥74.97, the current price sits within 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 23% below its 52-week high and 44% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -67% fair-value upside, at -9%, 600309 screens cheaper 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 ¥29.43 ¥35.53 ¥67.19 76
ROIC Compounder ¥45.28 ¥70.08 ¥92.13 72
Gordon GGM ¥31.25 ¥68.23 ¥114.79 70
All 16 models by family
Earnings-Based
Graham-Dodd ¥27.21 ¥189.77 ¥266.31 54
Lynch FV ¥61.57 ¥87.96 ¥114.34 50
PEG = 1.0 ¥61.57 ¥87.96 ¥114.34 46
EPV ¥37.79 ¥45.98 ¥53.26 59
Dividend Discount
Gordon GGM ¥31.25 ¥68.23 ¥114.79 70
DDM Multi-Stage ¥31.25 ¥55.89 ¥71.10 61
Multiples
P/E Multiple ¥60.03 ¥80.03 ¥100.04 63
P/S Multiple ¥51.02 ¥68.03 ¥85.04 58
P/B Multiple ¥51.02 ¥68.03 ¥85.04 55
EV/EBIT ¥63.23 ¥87.19 ¥111.15 53
EV/EBITDA ¥83.83 ¥114.65 ¥145.47 54
EV/Revenue ¥39.81 ¥60.57 ¥81.33 43
Asset-Based
NCAV (Graham) ¥15.11 ¥20.25 ¥30.23 50
Economic Profit
Residual Income ¥29.43 ¥35.53 ¥67.19 76
ROIC Compounder ¥45.28 ¥70.08 ¥92.13 72
Growth Earnings
Growth-Adj P/E ¥80.29 ¥114.69 ¥149.10 68

Widest divergence: Growth Earnings (¥114.69) versus Asset-Based (¥20.25). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 214B CNY
Revenue growth (YoY) +25.5%
Net margin 6.2%
Return on equity 13.0%
Free cash flow −5.8B CNY FY2024
P/E ratio 17.3
More key figures
Operating margin 10.5%
EPS (TTM) ¥4.20
Dividend yield 1.7%
EPS growth (YoY) +21.4%
Net debt 69.1B CNY FY2024

Figures from reported company fundamentals · as of Jul 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 49/100

Of which business quality 48 · Market factors (momentum, volatility) 55

Profitability 55
Margins and returns on capital today
Quality Growth 47
Are margins and returns improving?
Cashflow 41
Earnings quality: real cash, not paper profit
Fin. Strength 39
Balance sheet, leverage, solvency risk
Investment 26
Disciplined investing over empire-building
Low Volatility 77
Calm price path (market factor)
Momentum 39
Price trend over the last 3–12 months (market factor)
52W Momentum 57
Distance to the 52-week high (market factor)
Net Issuance 82
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

Wanhua Chemical Group Co., Ltd., together with its subsidiaries, engages in the research, development, production, and sale of chemical products in China and internationally. It operates through three segments: Polyurethane; Petrochemical; and Fine Chemicals and New Materials.

Full company description

Wanhua Chemical Group Co., Ltd., together with its subsidiaries, engages in the research, development, production, and sale of chemical products in China and internationally. It operates through three segments: Polyurethane; Petrochemical; and Fine Chemicals and New Materials. The company offers isocyanates and polyether polyols; olefin derivatives and ethylene; functional chemicals, including specialty isocyanates, specialty amines, and intermediates; and new materials, such as thermoplastic polyurethane elastomers, polyolefin elastomers, polymethyl methacrylate, water treatment membranes, superabsorbent polymers, nylon elastomers, ultra-high voltage cable materials, and methyl methacrylate-styrene copolymers. It also provides surface materials comprising coatings and adhesives raw materials, silicone intermediates, and finished adhesives, as well as synthetic leather, personal and home care, liquid silicone rubber, release agents, and bio-based chemicals; polymers; caustic soda, specialty PVC, and other chlorine products; flavorings, nutritional supplements, and pharmaceutical intermediates; and lithium iron phosphate, graphite anodes, battery-grade sulfates, N-methylpyrrolidone, polyacrylic acid, and other battery materials and related chemicals. The company's products are used in homeware and furniture, sports and leisure, automobiles and transportation, building and construction, electronics and electrical appliances, personal care, and green energy industries. It exports its products. The company was formerly known as Yantai Wanhua Polyurethanes Co., Ltd. and changed its name to Wanhua Chemical Group Co., Ltd. in June 2013. Wanhua Chemical Group Co., Ltd. was founded in 1978 and is headquartered in Yantai, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Wanhua Chemical Group reported revenue of ¥203B in FY2025 versus ¥146B in FY2021, a compound +8.7%/yr. Reported net income was ¥12.5B in FY2025, compounding −15.6%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
203B CNY
Latest YoY
+11.6%
Avg. growth/yr (3Y)
+7.1%
Avg. growth/yr (5Y)
+22.6%
Avg. growth/yr (28Y)
+29.7%
Revenue +8.7%/yr
FY21 ¥146B
FY22 ¥166B
FY23 ¥175B
FY24 ¥182B
FY25 ¥203B
Net income −15.6%/yr
FY21 ¥24.6B
FY22 ¥16.2B
FY23 ¥16.8B
FY24 ¥13.0B
FY25 ¥12.5B

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Cite: Fair Value Calculator (2026). "Wanhua Chemical Group Fair Value". https://www.fairvalue-calculator.com/stock/600309

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Specialty Chemicals · 680 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 49 · Below median
Fair Value upside −9% · Above median
Return on equity (TTM) 13% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 10% · Above median
Revenue growth 26% · Top 25%
Dividend yield (TTM) 1.8% · Above median
Debt / equity 0.55× · Higher than 75% of peers

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/E (TTM) 16.7× · Cheaper than median
P/B 2.32× · Pricier than median
P/S (TTM) 1.02× · Cheaper than median
EV/EBITDA 7.1× · Cheaper than median

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 21 · sector 0
FUTURE 100 · sector 19
PAST 52 · sector 23
HEALTH 73 · sector 95
DIVIDEND 37 · sector 24

Insider activity: 30/100

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 Specialty Chemicals stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
Linde plc LIN $520.74 $226.27 -57%
Nan Ya Plastics Corporation 1303 181.50 TWD 255.83 TWD +41%
Novozymes A/S NSISB kr 428.20 kr 179.66 -58%
Asian Paints Limited ASIANPAINT ₹2,689 ₹668.81 -75%
Solar Industries India Limited SOLARINDS ₹18,236 ₹2,793 -85%
Pidilite Industries Limited PIDILITIND ₹1,560 ₹351.84 -77%
PT Chandra Asri Pacific Tbk TPIA 1,805 IDR 2,888 IDR +60%
Linde India Limited LINDEINDIA ₹7,115 ₹757.93 -89%
Berger Paints India Limited BERGEPAINT ₹493.70 ₹164.29 -67%
Gujarat Fluorochemicals Limited FLUOROCHEM ₹4,132 ₹836.47 -80%

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Frequently asked questions

Is Wanhua Chemical Group (600309) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of ¥68.03 versus a price of ¥74.97, about −9% (fairly valued).
What is the fair value of 600309?
Our model-based fair value for Wanhua Chemical Group is ¥68.03 (as of Jul 20, 2026), built from audited fundamentals. The current price is ¥74.97.
What is the quality score of 600309?
Wanhua Chemical Group has a Quality Score of 49/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Wanhua Chemical Group (600309)?
Wanhua Chemical Group reported trailing-twelve-month revenue of about 214B CNY (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 600309?
The net profit margin of Wanhua Chemical Group is about 6.2%, meaning it keeps roughly 6.2% of revenue as net income. Based on the latest reported figures.
Does Wanhua Chemical Group pay a dividend?
Wanhua Chemical Group currently shows a dividend yield of about 1.73% relative to its recent price (as of Jul 20, 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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