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China National Medicines Corporation (600511) Fair Value & Analysis

Healthcare · CN · Market cap 20.8B CNY

CN China National Medicines Corporation 600511 · SHG
Price¥27.53
Fair Value¥58.22
Upside+111.5%
Quality62/100
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Healthy Growth
Thin margins · 3.8% net margin
Low debt · generates free cash flow
2.92% dividend yield
Ranks above peers (13/14)
Narrow moat 34/100
Evidence: Medium Range ¥43.66 – ¥72.07 Share as image

Fair value as of: Aug 8, 2026

From 26 valuation models · updated 2 days ago

Share price +2.2% over the past month.

A solid business, screening 111% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (¥43.66). The market is more pessimistic than our downside scenario.
  • Solid quality (62/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

¥42.59 ¥23.93 Fair Value ¥58.22 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 8, 2026.

How to read this chart

60‑month range ¥23.93 – ¥42.59 · fair‑value band ¥43.66 – ¥72.07 · the ¥27.53 price screens below the ¥58.22 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 8, 2026.

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Analysis

China National Medicines Corporation (600511) currently trades at ¥27.53, while our model-based Fair Value estimate is ¥58.22, implying the stock looks roughly 111.5% undervalued today. The Quality Score stands at 62/100 (solid quality), in the Healthcare sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, China National Medicines Corporation generated revenue of 53.3B CNY at a net margin of 3.8%. Revenue grew 6.6% year over year. It earns a return on equity of 10.4%. The balance sheet holds a net cash position of 4.3B CNY. Fundamentals as of Aug 8, 2026

Our scenario range runs from ¥43.66 (bear case) to ¥72.07 (bull case); at ¥27.53, the current price sits below 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 12% below its 52-week high and 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at 2% fair-value upside, at 111%, 600511 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
Growth DCF ¥46.57 ¥76.72 ¥130.53 80
Residual Income ¥22.05 ¥25.00 ¥44.27 76
Rev-Margin DCF ¥44.80 ¥72.14 ¥109.50 74
All 26 models by family
DCF Models
FCF DCF ¥47.32 ¥79.76 ¥146.07 38
Owner Earnings ¥51.53 ¥90.06 ¥161.96 31
5Y Revenue Exit ¥44.80 ¥73.22 ¥113.22 39
5Y EBITDA Exit ¥48.67 ¥81.63 ¥124.64 41
5Y P/E Exit ¥51.20 ¥87.12 ¥130.14 38
10Y Revenue Exit ¥44.22 ¥72.18 ¥118.15 36
10Y EBITDA Exit ¥48.00 ¥78.53 ¥128.21 37
10Y P/E Exit ¥49.71 ¥82.67 ¥133.05 35
Earnings-Based
Graham-Dodd ¥17.99 ¥98.79 ¥137.05 54
Lynch FV ¥27.49 ¥39.27 ¥51.05 50
PEG = 1.0 ¥27.49 ¥39.27 ¥51.05 46
EPV ¥38.41 ¥42.85 ¥46.73 59
Dividend Discount
Gordon GGM ¥7.61 ¥15.83 ¥25.12 70
DDM Multi-Stage ¥7.61 ¥13.35 ¥16.62 61
Multiples
P/E Multiple ¥43.66 ¥58.22 ¥72.77 63
P/S Multiple ¥33.74 ¥44.99 ¥56.23 58
P/B Multiple ¥33.74 ¥44.99 ¥56.23 55
EV/EBIT ¥56.06 ¥70.83 ¥85.60 53
EV/EBITDA ¥51.56 ¥64.83 ¥78.09 54
EV/Revenue ¥43.38 ¥56.93 ¥70.48 43
Asset-Based
NCAV (Graham) ¥12.29 ¥16.47 ¥24.58 50
Growth DCF
Growth DCF ¥46.57 ¥76.72 ¥130.53 80
Rev-Margin DCF ¥44.80 ¥72.14 ¥109.50 74
Economic Profit
Residual Income ¥22.05 ¥25.00 ¥44.27 76
ROIC Compounder ¥43.01 ¥54.96 ¥70.83 72
Growth Earnings
Growth-Adj P/E ¥40.93 ¥58.47 ¥76.01 68

Widest divergence: DCF Models (¥79.76) versus Dividend Discount (¥13.35). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 53.3B CNY
Revenue growth (YoY) +6.6%
Net margin 3.8%
Return on equity 10.4%
Free cash flow 1.9B CNY FY2025
P/E ratio 10.3
More key figures
Operating margin 3.5%
EPS (TTM) ¥2.67
Dividend yield 2.9%
EPS growth (YoY) +3.3%
Net cash 4.3B CNY FY2025

Figures from reported company fundamentals · as of Aug 8, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 62/100

Of which business quality 63 · Market factors (momentum, volatility) 52

Profitability 46
Margins and returns on capital today
Quality Growth 45
Are margins and returns improving?
Cashflow 47
Earnings quality: real cash, not paper profit
Fin. Strength 91
Balance sheet, leverage, solvency risk
Investment 72
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 32
Price trend over the last 3–12 months (market factor)
52W Momentum 32
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

China National Medicines Corporation Ltd., together with its subsidiaries, engages in pharmaceutical equipment circulation in China.

Full company description

China National Medicines Corporation Ltd., together with its subsidiaries, engages in pharmaceutical equipment circulation in China. The company also manufactures and sells new drugs; sells Chinese patent medicines drug sales and western medicines, and medical equipment; and offers dental drug and equipment, warehousing, logistics and import and export agency services. It also serves hospitals, retail pharmacies, and medical institutions. The company was founded in 1999 and is based in Beijing, China. China National Medicines Corporation Ltd. operates as a subsidiary of Sinopharm Group Co. Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China National Medicines Corporation reported revenue of ¥52.5B in FY2025 versus ¥46.5B in FY2021, a compound +3.1%/yr. Reported net income was ¥2.0B in FY2025, compounding +3.3%/yr from FY2021.

Growth Quality 65/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
52.5B CNY
Latest YoY
+3.7%
Avg. growth/yr (3Y)
+4.9%
Avg. growth/yr (5Y)
+5.4%
Avg. growth/yr (26Y)
+17.5%
Revenue +3.1%/yr
FY21 ¥46.5B
FY22 ¥45.5B
FY23 ¥49.7B
FY24 ¥50.6B
FY25 ¥52.5B
Net income +3.3%/yr
FY21 ¥1.8B
FY22 ¥2.0B
FY23 ¥2.1B
FY24 ¥2.0B
FY25 ¥2.0B

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Cite: Fair Value Calculator (2026). "China National Medicines Corporation Fair Value". https://www.fairvalue-calculator.com/stock/600511

Peer Group

Medical Distribution · 81 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 62 · Top 25%
Fair Value upside +112% · Top 25%
Return on equity (TTM) 10% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 4% · Above median
Operating margin (TTM) 4% · Above median
Revenue growth 7% · Above median
Dividend yield (TTM) 2.9% · Above median
Debt / equity 0.00× · Lower than median

Valuation Multiples vs Medical Distribution median · lower = cheaper

P/E (TTM) 10.3× · Cheaper than 75% of peers
P/B 1.12× · Pricier than median
P/S (TTM) 0.39× · Cheaper than median
P/FCF 1.6× · Cheaper than median
EV/EBITDA 5.6× · 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 100 · sector 32
FUTURE 33 · sector 14
PAST 42 · sector 21
HEALTH 100 · sector 97
DIVIDEND 58 · sector 53

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 Medical Distribution stocks, each showing price versus our Fair Value estimate (as of Aug 8, 2026).

Stock Price Fair Value vs Fair Value
McKesson Corporation MCK $805.96 $819.31 +2%
Cencora, Inc COR $303.44 $175.74 -42%
Cardinal Health, Inc CAH $224.94 $141.77 -37%
Henry Schein, Inc HSIC $87.82 $74.67 -15%
Shanghai Pharmaceuticals Holding 601607 ¥16.70 ¥33.96 +103%
Sinopharm Group 1099 HK$16.74 HK$61.33 +266%
Galenica AG GALE CHF 87.05 CHF 61.79 -29%
Guangzhou Baiyunshan Pharmaceutical Holdings 600332 ¥21.50 ¥28.65 +33%
Jointown Pharmaceutical Group 600998 ¥4.99 ¥9.84 +97%
Asker Healthcare Group ASKER kr 79.45 kr 25.69 -68%

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Frequently asked questions

Is China National Medicines Corporation (600511) overvalued or undervalued?
As of Aug 8, 2026, our model estimates a fair value of ¥58.22 versus a price of ¥27.53, about +111% (undervalued).
What is the fair value of 600511?
Our model-based fair value for China National Medicines Corporation is ¥58.22 (as of Aug 8, 2026), built from audited fundamentals. The current price is ¥27.53.
What is the quality score of 600511?
China National Medicines Corporation has a Quality Score of 62/100. 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 China National Medicines Corporation (600511)?
China National Medicines Corporation reported trailing-twelve-month revenue of about 53.3B CNY (latest available figure, as of Aug 8, 2026).
What is the net profit margin of 600511?
The net profit margin of China National Medicines Corporation is about 3.8%, meaning it keeps roughly 3.8% of revenue as net income. Based on the latest reported figures.
Does China National Medicines Corporation pay a dividend?
China National Medicines Corporation currently shows a dividend yield of about 2.92% relative to its recent price (as of Aug 8, 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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