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Foxconn Industrial Internet Co (601138) Fair Value & Analysis

Technology · CN · Market cap 1.1T CNY

FI Foxconn Industrial Internet Co 601138 · SHG
Price¥68.27
Fair Value¥28.65
Upside-58.0%
Quality58/100
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Expensive Growth
Thin margins · 4.1% net margin
Low debt · negative free cash flow
1.70% dividend yield
Ranks above peers (10/13)
Moderate moat 51/100
Evidence: High Range ¥20.05 – ¥41.48 Share as image

Fair value as of: Jul 20, 2026

From 17 valuation models · updated 18 days ago

Share price +7.0% over the past month.

A solid business, but screening 58% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (¥41.48). The favourable scenario is already priced in.
  • Solid but not exceptional quality (58/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (¥20.05 to ¥41.48) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

¥81.05 ¥7.96 Fair Value ¥28.65 Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 20, 2026.

How to read this chart

60‑month range ¥7.96 – ¥81.05 · fair‑value band ¥20.05 – ¥41.48 · the ¥68.27 price screens above the ¥28.65 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 20, 2026.

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Analysis

Foxconn Industrial Internet Co (601138) currently trades at ¥68.27, while our model-based Fair Value estimate is ¥28.65, implying the stock looks roughly 58.0% overvalued today. We read business quality at 58/100 (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: high).

Over the trailing twelve months, Foxconn Industrial Internet Co generated revenue of 994B CNY at a net margin of 4.1%. Revenue grew 56.5% year over year. It earns a return on equity of 24.3%. Net debt stands at 241M CNY. Fundamentals as of Jul 20, 2026

Our scenario range runs from ¥20.05 (bear case) to ¥41.48 (bull case); at ¥68.27, 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 20% below its 52-week high and 242% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -64% fair-value upside, at -58%, 601138 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
Residual Income ¥11.89 ¥14.95 ¥53.96 76
ROIC Compounder ¥26.08 ¥32.44 ¥40.31 72
Gordon GGM ¥9.33 ¥20.38 ¥34.28 70
All 17 models by family
DCF Models
Owner Earnings ¥25.67 ¥47.78 ¥92.22 31
Earnings-Based
Graham-Dodd ¥12.09 ¥70.80 ¥98.55 54
Lynch FV ¥20.05 ¥28.65 ¥37.24 50
PEG = 1.0 ¥20.05 ¥28.65 ¥37.24 46
EPV ¥23.98 ¥27.24 ¥30.13 59
Dividend Discount
Gordon GGM ¥9.33 ¥20.38 ¥34.28 70
DDM Multi-Stage ¥9.33 ¥16.69 ¥21.24 61
Multiples
P/E Multiple ¥26.67 ¥35.56 ¥44.45 63
P/S Multiple ¥22.67 ¥30.23 ¥37.79 58
P/B Multiple ¥18.91 ¥25.21 ¥31.52 55
EV/EBIT ¥34.32 ¥43.92 ¥53.51 53
EV/EBITDA ¥30.44 ¥38.74 ¥47.03 54
EV/Revenue ¥24.94 ¥33.26 ¥41.57 43
Asset-Based
NCAV (Graham) ¥4.20 ¥5.63 ¥8.40 50
Economic Profit
Residual Income ¥11.89 ¥14.95 ¥53.96 76
ROIC Compounder ¥26.08 ¥32.44 ¥40.31 72
Growth Earnings
Growth-Adj P/E ¥28.81 ¥41.15 ¥53.50 68

Widest divergence: DCF Models (¥47.78) versus Asset-Based (¥5.63). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 994B CNY
Revenue growth (YoY) +56.5%
Net margin 4.1%
Return on equity 24.3%
Free cash flow −11.8B CNY FY2025
P/E ratio 28.2
More key figures
Operating margin 5.6%
EPS (TTM) ¥2.05
Dividend yield 1.7%
EPS growth (YoY) +104%
Net debt 241M CNY FY2025

Figures from reported company fundamentals · as of Jul 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 58/100

Of which business quality 56 · Market factors (momentum, volatility) 58

Profitability 56
Margins and returns on capital today
Quality Growth 67
Are margins and returns improving?
Cashflow 7
Earnings quality: real cash, not paper profit
Fin. Strength 79
Balance sheet, leverage, solvency risk
Investment 57
Disciplined investing over empire-building
Low Volatility 19
Calm price path (market factor)
Momentum 68
Price trend over the last 3–12 months (market factor)
52W Momentum 86
Distance to the 52-week high (market factor)
Net Issuance 81
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

Foxconn Industrial Internet Co., Ltd., together with its subsidiaries, provides smart manufacturing and industrial internet services in Mexico, Vietnam, Singapore, Mainland China, and internationally.

Full company description

Foxconn Industrial Internet Co., Ltd., together with its subsidiaries, provides smart manufacturing and industrial internet services in Mexico, Vietnam, Singapore, Mainland China, and internationally. The company offers communication and mobile network equipment products comprising 5G/4G modules, 5G terminals, 5G private network, and Wi-Fi equipment; cloud computing products consisting of high-performance servers, edge computing, advanced heat dissipation, and storage equipment; industrial internet services, such as lighthouse, manufacturing consulting, and cloud and platform services, as well as hardware and software integration products; and precision manufacturing automation solutions for the automation, robot, optical inspection, and MedTech industries. It also engages in the provision of precision tools; communication network high-precision components; network devices; industrial robots; construction machinery and equipment; mining equipment; teaching equipment; information systems; smart wearable devices; automation and molds; automation equipment; electronic components; medical devices and mechanical equipment; and motherboards and computers. In addition, the company is involved in cloud computing, trading, management, IT, software development, Internet information, management and technical consulting, technology and hardware research and development, technical services, logistics, 5G laboratory, electronic manufacturing, financial planning, and investment consulting services. Foxconn Industrial Internet Co., Ltd. was incorporated in 2015 and is based in Shenzhen, China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Foxconn Industrial Internet Co reported revenue of ¥902B in FY2025 versus ¥440B in FY2021, a compound +19.7%/yr. Reported net income was ¥35.3B in FY2025, compounding +15.2%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
902B CNY
Latest YoY
+48.2%
Avg. growth/yr (3Y)
+20.8%
Avg. growth/yr (5Y)
+15.9%
Avg. growth/yr (10Y)
+10.7%
Revenue +19.7%/yr
FY21 ¥440B
FY22 ¥512B
FY23 ¥476B
FY24 ¥609B
FY25 ¥902B
Net income +15.2%/yr
FY21 ¥20.0B
FY22 ¥20.1B
FY23 ¥21.0B
FY24 ¥23.2B
FY25 ¥35.3B

601138 screens 58% overvalued. Compare with Cisco Systems, Inc →

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Cite: Fair Value Calculator (2026). "Foxconn Industrial Internet Co Fair Value". https://www.fairvalue-calculator.com/stock/601138

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.

Quality Score 58 · Above median
Fair Value upside −58% · Below median
Return on equity (TTM) 24% · Top 25%
Return on assets 8% · Top 25%
Net margin (TTM) 4% · Above median
Operating margin (TTM) 6% · Above median
Revenue growth 57% · Top 25%
Dividend yield (TTM) 1.7% · Above median

Valuation Multiples vs Communication Equipment median · lower = cheaper

P/E (TTM) 28.2× · Cheaper than median
P/B 6.87× · Pricier than 75% of peers
P/S (TTM) 1.15× · Cheaper than median
EV/EBITDA 19.0× · 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.

VALUE 0 · sector 0
FUTURE 100 · sector 30
PAST 97 · sector 15
HEALTH 100 · sector 98
DIVIDEND 34 · sector 27

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 Communication Equipment stocks, each showing price versus our Fair Value estimate (as of Jul 20, 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%
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%
Accelink Technologies Co 002281 ¥189.45 ¥22.87 -88%

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Frequently asked questions

Is Foxconn Industrial Internet Co (601138) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of ¥28.65 versus a price of ¥68.27, about −58% (overvalued).
What is the fair value of 601138?
Our model-based fair value for Foxconn Industrial Internet Co is ¥28.65 (as of Jul 20, 2026), built from audited fundamentals. The current price is ¥68.27.
What is the quality score of 601138?
Foxconn Industrial Internet Co has a Quality Score of 58/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Foxconn Industrial Internet Co (601138)?
Foxconn Industrial Internet Co reported trailing-twelve-month revenue of about 994B CNY (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 601138?
The net profit margin of Foxconn Industrial Internet Co is about 4.1%, meaning it keeps roughly 4.1% of revenue as net income. Based on the latest reported figures.
Does Foxconn Industrial Internet Co pay a dividend?
Foxconn Industrial Internet Co currently shows a dividend yield of about 1.25% relative to its recent price (as of Jul 20, 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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