Hengtong Optic-Electric Co (600487) Fair Value & Analysis
Technology · CN · Market cap 144B CNY
Fair value as of: Jul 17, 2026
From 17 valuation models · updated 21 days ago
Share price −30.6% over the past month.
A solid business, but screening 61% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (¥27.17). The favourable scenario is already priced in.
- Solid but not exceptional quality (55/100) 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 Jul 17, 2026.
How to read this chart
60‑month range ¥9.49 – ¥122.69 · fair‑value band ¥16.30 – ¥27.17 · the ¥56.15 price screens above the ¥21.73 fair value. Dashed = 300-day average. As of Jul 17, 2026.
Analysis
Hengtong Optic-Electric Co (600487) currently trades at ¥56.15, while our model-based Fair Value estimate is ¥21.73, implying the stock looks roughly 61.3% overvalued today. We read business quality at 55/100 (solid quality), in the Technology 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, Hengtong Optic-Electric Co generated revenue of 71.4B CNY at a net margin of 4.5%. Revenue grew 34.1% year over year. It earns a return on equity of 10.2%. Net debt stands at 34.1M CNY. Fundamentals as of Jul 17, 2026
Our scenario range runs from ¥16.30 (bear case) to ¥27.17 (bull case); at ¥56.15, 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 45% below its 52-week high and 284% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -61% fair-value upside, at -61%, 600487 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 17 models by family
Widest divergence: Growth Earnings (¥30.21) versus Dividend Discount (¥6.47). Highest evidence: Residual Income (76).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 17, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 49 · Market factors (momentum, volatility) 67
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
Hengtong Optic-Electric Co., Ltd. engages in communication network and energy interconnection businesses in China and internationally.
Full company description
Hengtong Optic-Electric Co., Ltd. engages in communication network and energy interconnection businesses in China and internationally. The company offers bare overhead conductor, railway contact line, OPGW, HV and EHV cables systems, medium and low voltage cables, and aluminium and alloy rods and extended products; and railway, elevator, telecom copper, and optical fiber cables, as well as ODN, preform, and optical transceiver products. It also provides special underwater and submarine power cables; new energy automotive, wind, and photovoltaic cables; precision and new energy copper foil, cathode material, and copper strips. In addition, it offers various solutions, including EPC, power system, telecom system, submarine system, and new energy solutions. Hengtong Optic-Electric Co., Ltd. was founded in 1993 and is based in Suzhou, China.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Hengtong Optic-Electric Co reported revenue of ¥66.9B in FY2025 versus ¥41.3B in FY2021, a compound +12.8%/yr. Reported net income was ¥2.7B in FY2025, compounding +16.9%/yr from FY2021.
600487 screens 61% overvalued. Compare with Cisco Systems, Inc →
Peer Group
Communication Equipment · 284 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 Communication Equipment 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 Communication Equipment stocks, each showing price versus our Fair Value estimate (as of Jul 17, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Cisco Systems, Inc CSCO | $119.25 | $43.05 | -64% |
| Zhongji Innolight Co 300308 | ¥1,094 | ¥171.09 | -84% |
| Foxconn Industrial Internet Co 601138 | ¥56.50 | ¥28.65 | -49% |
| Eoptolink Technology Inc 300502 | ¥482.88 | ¥155.05 | -68% |
| Nokia Oyj NOK | $11.25 | $2.67 | -76% |
| Motorola Solutions, Inc MSI | $413.31 | $190.43 | -54% |
| Suzhou TFC Optical Communication Co 300394 | ¥244.13 | ¥32.04 | -87% |
| Telefonaktiebolaget LM Ericsson (publ), ERIC | $11.72 | $15.96 | +36% |
| Accton Technology Corporation 2345 | 2,090 TWD | 846.28 TWD | -60% |
| ZTE Corporation 000063 | ¥40.00 | ¥15.75 | -61% |
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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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