Dongfang Electric Corporation (600875) Fair Value & Analysis
Industrials · CN · Market cap 86.0B CNY
Fair value as of: Jul 18, 2026
From 17 valuation models · updated 20 days ago
Share price −3.8% over the past month.
Below-average quality, and screening another 18% overvalued on our models.
What matters now
- Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts.
- Our model range runs from ¥16.81 (bear) to ¥28.02 (bull), base ¥22.42. The closer the price sits to the lower half, the larger the margin of safety.
- Quality 40/100 (below-average quality) with high evidence: the data supports the verdict.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.
How to read this chart
60‑month range ¥9.81 – ¥44.22 · fair‑value band ¥16.81 – ¥28.02 · the ¥27.31 price screens above the ¥22.42 fair value. Dashed = 300-day average. As of Jul 18, 2026.
Analysis
Dongfang Electric Corporation (600875) currently trades at ¥27.31, while our model-based Fair Value estimate is ¥22.42, implying the stock looks roughly 17.9% overvalued today. We read business quality at 40/100 (below-average 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: high).
Over the trailing twelve months, Dongfang Electric Corporation generated revenue of 78.5B CNY at a net margin of 5.4%. Revenue grew 5.7% year over year. It earns a return on equity of 9.1%. The balance sheet holds a net cash position of 24.2B CNY. Fundamentals as of Jul 18, 2026
Our scenario range runs from ¥16.81 (bear case) to ¥28.02 (bull case); at ¥27.31, 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 40% below its 52-week high and 69% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at -18%, 600875 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.
All 17 models by family
Widest divergence: Growth Earnings (¥30.40) versus Dividend Discount (¥7.69). Highest evidence: Residual Income (76).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 37 · Market factors (momentum, volatility) 52
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
Dongfang Electric Corporation Limited engages in the design, development, manufacture, and sale of power generation equipment in China and internationally.
Full company description
Dongfang Electric Corporation Limited engages in the design, development, manufacture, and sale of power generation equipment in China and internationally. The company operates in five segments: Renewable Energy Equipment, High-Efficient Clean Energy Equipment, Engineering and Supply Chain, Modern Manufacturing Services Business, and Emerging Growth Industries. It offers power generation equipment for wind, solar, hydro, nuclear, gas, and thermal power, including hydro-generating units, steam turbine generators, wind power units, power station steam turbines, and power station boilers. The company also provides engineering contracting and services to global energy operators; trade and logistics services; chemical containers; energy-saving and environmental protection equipment; power electronics and control systems; and hydrogen energy equipment. In addition, it offers science and technology promotion and application services, heat production, and research and experimental development services, as well as power generators, generating sets, and general equipment. The company was formerly known as Dongfang Electric Machinery Co., Ltd. and changed its name to Dongfang Electric Corporation Limited in January 2008. The company was founded in 1958 and is headquartered in Chengdu, the People's Republic of China. Dongfang Electric Corporation Limited operates as a subsidiary of Dongfang Electric Corporation.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Dongfang Electric Corporation reported revenue of ¥78.6B in FY2025 versus ¥46.8B in FY2021, a compound +13.9%/yr. Reported net income was ¥3.8B in FY2025, compounding +13.7%/yr from FY2021.
600875 screens 18% overvalued. Compare with GE Vernova Inc →
Peer Group
Specialty Industrial Machinery · 807 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 Specialty Industrial Machinery 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.
Insider activity: 30/100
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 Specialty Industrial Machinery stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| GE Vernova Inc 1GEV | €967.60 | €212.97 | -78% |
| 1SIE 1SIE | €284.30 | €122.46 | -57% |
| SMNS SMNS | C$31.76 | C$22.68 | -29% |
| Eaton Corporation ETN | $407.28 | $171.92 | -58% |
| Atlas Copco AB ATCOA | kr 195.15 | kr 112.59 | -42% |
| Sandvik AB SAND | kr 384.10 | kr 193.01 | -50% |
| Doosan Enerbility Co 034020 | 76,400 KRW | 7,938 KRW | -90% |
| Zhejiang Sanhua Intelligent Controls Co 002050 | ¥43.20 | ¥22.68 | -48% |
| Vestas Wind Systems A/S VWS | kr 178.10 | kr 124.54 | -30% |
| NARI Technology Co 600406 | ¥22.19 | ¥18.71 | -16% |
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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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