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AECC Aero Science and Technology Co Ltd (600391) Fair Value & Analysis

Industrials · CN · Market cap 10.2B CNY (≈ $1.5B) · ISIN CNE0000019D6

AA AECC Aero Science and Technology Co Ltd 600391 · SHG
Price¥33.22
Fair Value¥3.87
Upside-88.4%
Quality53/100

Structural break: The valuation model sees a lasting decline in earnings power for this stock, the confidence band is broken. Treat the target with caution.

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Strengths

Healthy Growth (revenue 5y +9.7 %/yr)
Low debt · generates free cash flow

Risks

!Trades 758% ABOVE our fair value of ¥3.87
!Thin margins · 1.1% net margin
!Trails peers (2/14)
!Narrow moat 26/100
Healthy Growth (revenue 5y +9.7 %/yr)
Thin margins · 1.1% net margin
Low debt · generates free cash flow
Trails peers (2/14)
Narrow moat 26/100
Evidence: Medium Range ¥2.90 – ¥4.84 Share as image

Fair value as of: Aug 21, 2026

From 24 valuation models · updated 7 days ago

Share price +22.2% over the past month.

A solid business, but trading 758% above our fair value.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

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What matters now

  • The price sits above even our optimistic bull case (¥4.84). The favourable scenario is already priced in.
  • Solid but not exceptional quality (53/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

¥56.22 ¥13.42 Fair Value ¥3.87 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 21, 2026.

How to read this chart

60‑month range ¥13.42 – ¥56.22 · fair‑value band ¥2.90 – ¥4.84 · the ¥33.22 price screens above the ¥3.87 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 21, 2026.

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Analysis

AECC Aero Science and Technology Co Ltd (600391) currently trades at ¥33.22, while our model-based Fair Value estimate is ¥3.87, implying the stock looks roughly 88.4% overvalued today. The Quality Score stands at 53/100 (solid quality), in the Industrials 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, AECC Aero Science and Technology Co Ltd generated revenue of 4.3B CNY at a net margin of 1.1%. Revenue declined 4.6% year over year. It earns a return on equity of 4.6%. Net debt stands at 358M CNY. Fundamentals as of Aug 21, 2026

Our scenario range runs from ¥2.90 (bear case) to ¥4.84 (bull case); at ¥33.22, 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 43% below its 52-week high and 36% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -44% fair-value upside, at -88%, 600391 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 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
Highest evidence
Growth DCF ¥32.52 ¥55.28 ¥93.31 80
Residual Income ¥3.96 ¥3.87 ¥3.36 76
Rev-Margin DCF ¥15.94 ¥22.90 ¥31.83 74
All 24 models by family
DCF Models
FCF DCF ¥32.64 ¥57.10 ¥98.89 38
Owner Earnings ¥1.25 ¥1.47 ¥1.84 31
5Y Revenue Exit ¥15.94 ¥22.62 ¥30.91 39
5Y EBITDA Exit ¥22.64 ¥36.23 ¥52.75 41
5Y P/E Exit ¥13.05 ¥16.73 ¥20.42 38
10Y Revenue Exit ¥21.12 ¥29.24 ¥40.29 36
10Y EBITDA Exit ¥25.77 ¥39.14 ¥58.33 37
10Y P/E Exit ¥19.45 ¥24.96 ¥31.61 35
Earnings-Based
Graham-Dodd ¥1.25 ¥5.55 ¥7.59 54
Lynch FV ¥1.44 ¥2.05 ¥2.67 50
PEG = 1.0 ¥1.44 ¥2.05 ¥2.67 46
EPV ¥7.63 ¥8.74 ¥9.71 59
Multiples
P/E Multiple ¥2.90 ¥3.87 ¥4.84 63
P/S Multiple ¥2.35 ¥3.13 ¥3.92 58
P/B Multiple ¥2.35 ¥3.13 ¥3.92 55
EV/EBIT ¥10.88 ¥14.18 ¥17.48 53
EV/EBITDA ¥19.34 ¥25.47 ¥31.59 54
EV/Revenue ¥8.04 ¥11.07 ¥14.10 43
Asset-Based
NCAV (Graham) ¥2.70 ¥3.62 ¥5.41 50
Growth DCF
Growth DCF ¥32.52 ¥55.28 ¥93.31 80
Rev-Margin DCF ¥15.94 ¥22.90 ¥31.83 74
Economic Profit
Residual Income ¥3.96 ¥3.87 ¥3.36 76
ROIC Compounder ¥8.40 ¥11.04 ¥14.57 72
Growth Earnings
Growth-Adj P/E ¥2.36 ¥3.37 ¥4.38 68

Widest divergence: DCF Models (¥24.96) versus Earnings-Based (¥2.05). Highest evidence: Growth DCF (80).

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Key figures & financial health

P/E ratio 237.3
P/S ratio 3.34 P/E × margin
EPS (TTM) ¥0.1400 price ÷ EPS = P/E 237.3
Net margin 1.4% FY2025
Return on equity 4.6% TTM
Return on assets (EBIT) 1.7% avg 5y
More key figures
Profitability
Operating margin 5.7% TTM
Growth
Revenue (TTM) 4.3B CNY TTM
Revenue growth (YoY) -4.6% 3y avg +4.4%
EPS growth (YoY) +80.4%
Balance sheet & cash flow
Free cash flow 826M CNY FY2025
Net debt 358M CNY FY2025 · ≈ 0.4 yrs of FCF

Figures from reported company fundamentals · as of Aug 21, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 53/100

Of which business quality 54 · Market factors (momentum, volatility) 28

Profitability 22
Margins and returns on capital today
Quality Growth 54
Are margins and returns improving?
Cashflow 82
Earnings quality: real cash, not paper profit
Fin. Strength 37
Balance sheet, leverage, solvency risk
Investment 60
Disciplined investing over empire-building
Low Volatility 35
Calm price path (market factor)
Momentum 20
Price trend over the last 3–12 months (market factor)
52W Momentum 32
Distance to the 52-week high (market factor)
Net Issuance 78
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.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Aecc Aero Science and Technology Co.,Ltd engages in the production and manufacturing of aero-engine and gas turbine components in China. The company was formerly known as Sichuan Chengfa Aero-Science & Technology Co,Ltd. and changed its name to Aecc Aero Science and Technology Co.,Ltd in April 2017.

Full company description

Aecc Aero Science and Technology Co.,Ltd engages in the production and manufacturing of aero-engine and gas turbine components in China. The company was formerly known as Sichuan Chengfa Aero-Science & Technology Co,Ltd. and changed its name to Aecc Aero Science and Technology Co.,Ltd in April 2017. Aecc Aero Science and Technology Co.,Ltd was incorporated in 1999 and is headquartered in Chengdu, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

AECC Aero Science and Technology Co Ltd reported revenue of ¥4.3B in FY2025 versus ¥3.5B in FY2021, a compound +5.4%/yr. Reported net income was ¥60.9M in FY2025, compounding +30.0%/yr from FY2021.

Growth Quality 80/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
4.3B CNY
Latest YoY
+12.3%
Avg. revenue growth/yr (3Y) 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.
+4.4%
Avg. revenue growth/yr (5Y) 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.
+9.7%
Avg. revenue growth/yr (27Y) 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.
+14.5%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+22.7% (22.7 + 0.0)
Revenue +5.4%/yr
FY21 ¥3.5B
FY22 ¥3.8B
FY23 ¥4.5B
FY24 ¥3.9B
FY25 ¥4.3B
Net income +30.0%/yr
FY21 ¥21.3M
FY22 ¥46.7M
FY23 ¥48.2M
FY24 ¥68.8M
FY25 ¥60.9M
Character of growth · EPS growth decomposed (2013-2024) +6.3 % p.a.
Revenue per share +8.4 pp

of which total revenue +8.6 pp · buybacks/dilution −0.2 pp

EBIT margin −1.0 pp
Tax rate −0.2 pp
Residual (interest, one-offs) −0.9 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

600391 screens 88% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "AECC Aero Science and Technology Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/600391

Peer Group

Aerospace & Defense · 234 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 53 · Below median
Fair Value upside −88% · Bottom 25%
Return on equity (TTM) 5% · Below median
Return on assets 2% · Below median
Net margin (TTM) 1% · Bottom 25%
Operating margin (TTM) 6% · Below median
Revenue growth -5% · Bottom 25%
Dividend yield (TTM) 0.3% · Below median
Debt / equity 0.15× · Higher than median

Valuation Multiples vs Aerospace & Defense median · lower = cheaper

P/E (TTM) 237.3× · Pricier than 75% of peers
P/B 5.69× · Pricier than median
P/S (TTM) 2.37× · Cheaper than median
P/FCF 1.8× · Cheaper than 75% of peers
EV/EBITDA 23.8× · Pricier 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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE0 · sector 47
PAST18 · sector 38
HEALTH93 · sector 93
DIVIDEND7 · sector 15

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.

Weapons Defense

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Aug 21, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $354.39 $116.71 -67%
RTX Corporation RTX $211.99 $88.37 -58%
Airbus SE AIR €213.00 €117.01 -45%
Lockheed Martin Corporation LMT $565.62 $419.01 -26%
Howmet Aerospace Inc HWM $269.34 $50.43 -81%
General Dynamics Corporation GD $382.02 $274.32 -28%
Northrop Grumman Corporation NOC $549.95 $356.59 -35%
TransDigm Group TDG $1,235 $571.03 -54%
L3Harris Technologies, Inc LHX $262.96 $146.55 -44%
Thales S.A HO €246.70 €171.13 -31%

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Frequently asked questions

Is AECC Aero Science and Technology Co Ltd (600391) overvalued or undervalued?
As of Aug 21, 2026, our model estimates a fair value of ¥3.87 versus a price of ¥33.22, about −88% (overvalued).
What is the fair value of 600391?
Our model-based fair value for AECC Aero Science and Technology Co Ltd is ¥3.87 (as of Aug 21, 2026), built from audited fundamentals. The current price: ¥33.22.
What is the quality score of 600391?
AECC Aero Science and Technology Co Ltd has a Quality Score of 53/100. 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 AECC Aero Science and Technology Co Ltd (600391)?
AECC Aero Science and Technology Co Ltd reported trailing-twelve-month revenue of about 4.3B CNY (latest available figure, as of Aug 21, 2026).
What is the net profit margin of 600391?
The net profit margin of AECC Aero Science and Technology Co Ltd is about 1.1%, meaning it keeps roughly 1.1% of revenue as net income. Based on the latest reported figures.

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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