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Hanshang Group (600774) Fair Value & Analysis

Consumer Cyclical · CN · Market cap 2.0B CNY

HG Hanshang Group 600774 · SHG
Price¥7.20
Fair Value¥4.40
Upside-38.9%
Quality43/100
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Mixed Growth
Loss-making · -18.3% net margin
Low debt · generates free cash flow
Trails peers (4/12)
Narrow moat 15/100
Evidence: Medium Range ¥3.12 – ¥6.17 Share as image

Fair value as of: Aug 9, 2026

From 15 valuation models · updated 2 days ago

Fair value updated Aug 9, 2026, revised from ¥4.93 to ¥4.40 (−10.8%) since Jul 11, 2026. Share price +10.1% over the past month.

Below-average quality, and screening another 39% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥6.17). The favourable scenario is already priced in.
  • Weak quality (43/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (¥3.12 to ¥6.17) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥18.36 ¥5.20 Fair Value ¥4.40 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 9, 2026.

How to read this chart

60‑month range ¥5.20 – ¥18.36 · fair‑value band ¥3.12 – ¥6.17 · the ¥7.20 price screens above the ¥4.40 fair value. Dashed = 300-day average. As of Aug 9, 2026.

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Analysis

Hanshang Group (600774) currently trades at ¥7.20, while our model-based Fair Value estimate is ¥4.40, implying the stock looks roughly 38.9% overvalued today. The Quality Score stands at 43/100 (below-average quality), in the Consumer Cyclical 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, Hanshang Group generated revenue of 1.0B CNY at a net margin of -18.3%. Revenue declined 11.5% year over year. It earns a return on equity of -11.4%. Net debt stands at 422M CNY. Fundamentals as of Aug 9, 2026

Our scenario range runs from ¥3.12 (bear case) to ¥6.17 (bull case); at ¥7.20, 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 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 50% fair-value upside, at -39%, 600774 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 ¥3.23 ¥4.43 ¥6.04 80
Rev-Margin DCF ¥1.65 ¥2.07 ¥2.55 74
ROIC Compounder ¥0.5300 ¥0.5700 ¥0.6100 72
All 15 models by family
DCF Models
FCF DCF ¥3.17 ¥4.50 ¥6.37 38
5Y Revenue Exit ¥1.65 ¥2.01 ¥2.42 39
5Y EBITDA Exit ¥3.98 ¥6.24 ¥8.82 41
10Y Revenue Exit ¥2.19 ¥2.63 ¥3.13 36
10Y EBITDA Exit ¥3.64 ¥5.46 ¥7.77 37
Earnings-Based
EPV ¥0.5300 ¥0.5700 ¥0.6100 59
Dividend Discount
Gordon GGM ¥1.16 ¥2.32 ¥3.51 70
DDM Multi-Stage ¥1.16 ¥1.77 ¥2.40 61
Multiples
EV/EBIT ¥1.05 ¥1.31 ¥1.57 53
EV/EBITDA ¥5.03 ¥6.62 ¥8.21 54
EV/Revenue ¥0.7900 ¥1.02 ¥1.24 43
Asset-Based
NCAV (Graham) ¥2.52 ¥3.37 ¥5.04 50
Growth DCF
Growth DCF ¥3.23 ¥4.43 ¥6.04 80
Rev-Margin DCF ¥1.65 ¥2.07 ¥2.55 74
Economic Profit
ROIC Compounder ¥0.5300 ¥0.5700 ¥0.6100 72

Widest divergence: DCF Models (¥4.50) versus Earnings-Based (¥0.5700). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 1.0B CNY
Revenue growth (YoY) -11.5%
Net margin -18.3%
Return on equity -11.4%
Free cash flow 82.3M CNY FY2025
Operating margin -0.8%
More key figures
EPS (TTM) ¥-0.6200
EPS growth (YoY) -78.1%
Net debt 422M CNY FY2025

Figures from reported company fundamentals · as of Aug 9, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 43/100

Of which business quality 42 · Market factors (momentum, volatility) 26

Profitability 8
Margins and returns on capital today
Quality Growth 9
Are margins and returns improving?
Cashflow 51
Earnings quality: real cash, not paper profit
Fin. Strength 33
Balance sheet, leverage, solvency risk
Investment 98
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 10
Price trend over the last 3–12 months (market factor)
52W Momentum 12
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

Hanshang Group Co., Ltd. primarily engages in the retail business. It is also involved in medicine, medical equipment, assisted reproduction, healthy drinks, and exhibition operations. The company was incorporated in 1990 and is based in Wuhan, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hanshang Group reported revenue of ¥1.0B in FY2025 versus ¥1.5B in FY2021, a compound −8.6%/yr. Reported net income was −¥175M in FY2025.

Growth Quality 56/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
1.0B CNY
Latest YoY
−12.2%
Avg. 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.
−9.4%
Avg. 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.
+15.8%
Avg. growth/yr (32Y) 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.
+2.6%
Revenue −8.6%/yr
FY21 ¥1.5B
FY22 ¥1.4B
FY23 ¥1.4B
FY24 ¥1.2B
FY25 ¥1.0B
Net income
FY21 ¥85.7M
FY22 ¥90.3M
FY23 ¥61.2M
FY24 −¥14.6M
FY25 −¥175M
Character of growth · EPS growth decomposed (2013-2024) +18.5 % p.a.
Revenue per share +0.6 pp

of which total revenue +4.0 pp · buybacks/dilution −3.4 pp

EBIT margin +16.9 pp
Tax rate +2.8 pp
Residual (interest, one-offs) −1.8 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).

600774 screens 39% overvalued. Compare with Falabella S.A →

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Cite: Fair Value Calculator (2026). "Hanshang Group Fair Value". https://www.fairvalue-calculator.com/stock/600774

Peer Group

Department Stores · 127 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 43 · Bottom 25%
Fair Value upside −39% · Below median
Return on assets -0% · Bottom 25%
Net margin (TTM) -18% · Bottom 25%
Operating margin (TTM) -1% · Bottom 25%
Revenue growth -12% · Bottom 25%
Debt / equity 0.05× · Lower than median

Valuation Multiples vs Department Stores median · lower = cheaper

P/B 0.20× · Cheaper than 75% of peers
P/S (TTM) 0.30× · Cheaper than median
P/FCF 3.7× · Pricier than 75% of peers
EV/EBITDA 2.0× · Cheaper than 75% of peers

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 · sector 26
FUTURE 0 · sector 2
PAST 0 · sector 16
HEALTH 97 · sector 96
DIVIDEND 0 · sector 37

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.

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 Department Stores stocks, each showing price versus our Fair Value estimate (as of Aug 9, 2026).

Stock Price Fair Value vs Fair Value
Falabella S.A FALABELLA 5,875 CLP 8,880 CLP +51%
El Puerto de Liverpool, S.A. LIVEPOLC1 99.62 MXN 263.70 MXN +165%
99 Speed Mart Retail Holdings 5326 3.70 MYR 1.45 MYR -61%
Cencosud S.A CENCOSUD 2,040 CLP 2,516 CLP +23%
Vishal Mega Mart Limited VMM ₹113.94 ₹37.39 -67%
SHINSEGAE Inc 004170 610,000 KRW 200,259 KRW -67%
Organización Soriana, S. A. B. de C. V., SORIANAB 30.04 MXN 59.59 MXN +98%
Lotte Shopping Co 023530 155,300 KRW 81,725 KRW -47%
Lojas Renner S.A LREN3 R$14.10 R$33.36 +137%
La Comer, S.A. LACOMERUBC 34.37 MXN 51.49 MXN +50%

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Frequently asked questions

Is Hanshang Group (600774) overvalued or undervalued?
As of Aug 9, 2026, our model estimates a fair value of ¥4.40 versus a price of ¥7.20, about −39% (overvalued).
What is the fair value of 600774?
Our model-based fair value for Hanshang Group is ¥4.40 (as of Aug 9, 2026), built from audited fundamentals. The current price is ¥7.20.
What is the quality score of 600774?
Hanshang Group has a Quality Score of 43/100. 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 Hanshang Group (600774)?
Hanshang Group reported trailing-twelve-month revenue of about 1.0B CNY (latest available figure, as of Aug 9, 2026).
What is the net profit margin of 600774?
The net profit margin of Hanshang Group is about -18.3%, meaning it is currently running at a net loss. 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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