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China Energy Engineering Corporation (601868) Fair Value & Analysis

Industrials · CN · Market cap 111B CNY

CE China Energy Engineering Corporation 601868 · SHG
Price¥2.59
Fair Value¥2.76
Upside+6.6%
Quality43/100
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Expensive Growth
Thin margins · 1.3% net margin
High debt · negative free cash flow
1.22% dividend yield
Trails peers (5/13)
Narrow moat 30/100
Evidence: Medium Range ¥2.13 – ¥3.55 Share as image

Fair value as of: Jul 16, 2026

From 16 valuation models · updated 22 days ago

Share price +1.2% over the past month.

Below-average quality, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • Our model range runs from ¥2.13 (bear) to ¥3.55 (bull), base ¥2.76. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 43/100 (below-average quality) with medium evidence: read the verdict with care.
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Price vs Fair Value (5 years)

¥3.80 ¥1.97 Fair Value ¥2.76 Sep 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

58‑month range ¥1.97 – ¥3.80 · fair‑value band ¥2.13 – ¥3.55 · the ¥2.59 price screens below the ¥2.76 fair value. Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

China Energy Engineering Corporation (601868) currently trades at ¥2.59, while our model-based Fair Value estimate is ¥2.76, implying the stock looks roughly 6.6% fairly valued today. We read business quality at 43/100 (below-average quality), in the Industrials 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 Energy Engineering Corporation generated revenue of 455B CNY at a net margin of 1.3%. Revenue grew 1.6% year over year. It earns a return on equity of 4.4%. Net debt stands at 265B CNY. Fundamentals as of Jul 16, 2026

Our scenario range runs from ¥2.13 (bear case) to ¥3.55 (bull case); at ¥2.59, 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 34% below its 52-week high and 19% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at 7%, 601868 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 ¥2.45 ¥2.48 ¥2.40 76
ROIC Compounder ¥0.7500 ¥1.41 ¥1.99 72
Gordon GGM ¥0.2900 ¥0.6000 ¥0.9500 70
All 16 models by family
Earnings-Based
Graham-Dodd ¥1.14 ¥4.38 ¥5.93 54
Lynch FV ¥1.07 ¥1.53 ¥1.99 50
PEG = 1.0 ¥1.07 ¥1.53 ¥1.99 46
EPV ¥0.7500 ¥1.41 ¥1.99 59
Dividend Discount
Gordon GGM ¥0.2900 ¥0.6000 ¥0.9500 70
DDM Multi-Stage ¥0.2900 ¥0.5000 ¥0.6300 61
Multiples
P/E Multiple ¥2.50 ¥3.34 ¥4.17 63
P/S Multiple ¥2.13 ¥2.84 ¥3.55 58
P/B Multiple ¥2.13 ¥2.84 ¥3.55 55
EV/EBIT ¥3.81 ¥6.16 ¥8.51 53
EV/EBITDA ¥4.79 ¥7.47 ¥10.14 54
EV/Revenue ¥1.52 ¥3.55 ¥5.59 43
Asset-Based
NCAV (Graham) ¥1.59 ¥2.14 ¥3.19 50
Economic Profit
Residual Income ¥2.45 ¥2.48 ¥2.40 76
ROIC Compounder ¥0.7500 ¥1.41 ¥1.99 72
Growth Earnings
Growth-Adj P/E ¥1.88 ¥2.68 ¥3.48 68

Widest divergence: Multiples (¥3.34) versus Dividend Discount (¥0.5000). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 455B CNY
Revenue growth (YoY) +1.6%
Net margin 1.3%
Return on equity 4.4%
Free cash flow −29.3B CNY FY2025
P/E ratio 19.4
More key figures
Operating margin 4.6%
EPS (TTM) ¥0.1300
Dividend yield 1.2%
EPS growth (YoY) -8.1%
Net debt 265B CNY FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 43/100

Of which business quality 38 · Market factors (momentum, volatility) 50

Profitability 22
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 31
Earnings quality: real cash, not paper profit
Fin. Strength 11
Balance sheet, leverage, solvency risk
Investment 61
Disciplined investing over empire-building
Low Volatility 72
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 34
Distance to the 52-week high (market factor)
Net Issuance 92
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 Energy Engineering Corporation Limited provides solutions and services in the energy, power and infrastructure sectors in the People's Republic of China and internationally. It operates through five segment: Survey, Design and Consulting; Construction and contracting; Industrial manufacturing; Industrial manufacturing; and others.

Full company description

China Energy Engineering Corporation Limited provides solutions and services in the energy, power and infrastructure sectors in the People's Republic of China and internationally. It operates through five segment: Survey, Design and Consulting; Construction and contracting; Industrial manufacturing; Industrial manufacturing; and others. The company offers planning and research, consulting, evaluation, engineering survey, design, supervision, project management, preparation, and specification services for domestic and foreign thermal power, hydropower, nuclear power, wind power, solar power generation, and power grid projects, as well as consulting services for power industry. It is also involved in the provision of project contracting, engineering and construction, and project operation and maintenance to domestic and overseas tradition energy, new energy, smart energy, water conservancy, ecological environmental protection, transportation, municipal, buildings, and structures. In addition, the company designs, manufactures, and sells construction materials, civil explosives, cement products, auxiliary machinery and equipment, energy-saving and environmental protection equipment, and other equipment related to the power industry, as well as provides blasting services, as well as engages in the investment and operation of traditional and new energy, smart energy, water conservancy, ecological environmental protection, and transportation projects; provision of financial services; and investment and development of real estate properties. Further, it provides logistics and trading, leasing and commercial business, software and information, and other services, as well as involved in project investment; asset and supply chain management; and Building construction investment business. The company was incorporated in 2014 and is headquartered in Beijing, the People's Republic of China.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

China Energy Engineering Corporation reported revenue of ¥452B in FY2025 versus ¥322B in FY2021, a compound +8.8%/yr. Reported net income was ¥5.8B in FY2025, compounding −2.7%/yr from FY2021.

Growth Quality 51/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
452B CNY
Latest YoY
+3.6%
Avg. growth/yr (3Y)
+7.3%
Avg. growth/yr (5Y)
+10.8%
Avg. growth/yr (13Y)
+9.5%
Revenue +8.8%/yr
FY21 ¥322B
FY22 ¥366B
FY23 ¥406B
FY24 ¥437B
FY25 ¥452B
Net income −2.7%/yr
FY21 ¥6.5B
FY22 ¥7.8B
FY23 ¥8.0B
FY24 ¥8.4B
FY25 ¥5.8B

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Cite: Fair Value Calculator (2026). "China Energy Engineering Corporation Fair Value". https://www.fairvalue-calculator.com/stock/601868

Peer Group

Engineering & Construction · 831 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 · Below median
Fair Value upside +7% · Above median
Return on equity (TTM) 4% · Below median
Return on assets 1% · Below median
Net margin (TTM) 1% · Below median
Operating margin (TTM) 5% · Above median
Revenue growth 2% · Below median
Dividend yield (TTM) 1.2% · Below median
Debt / equity 1.86× · Higher than 75% of peers

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 19.4× · Pricier than median
P/B 1.00× · Cheaper than median
P/S (TTM) 0.25× · Cheaper than median
EV/EBITDA 7.4× · 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 42 · sector 17
FUTURE 8 · sector 17
PAST 18 · sector 26
HEALTH 7 · sector 94
DIVIDEND 24 · sector 33

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 Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹102.36 ₹48.22 -53%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is China Energy Engineering Corporation (601868) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of ¥2.76 versus a price of ¥2.59, about +7% (fairly valued).
What is the fair value of 601868?
Our model-based fair value for China Energy Engineering Corporation is ¥2.76 (as of Jul 16, 2026), built from audited fundamentals. The current price is ¥2.59.
What is the quality score of 601868?
China Energy Engineering Corporation has a Quality Score of 43/100. 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 China Energy Engineering Corporation (601868)?
China Energy Engineering Corporation reported trailing-twelve-month revenue of about 455B CNY (latest available figure, as of Jul 16, 2026).
What is the net profit margin of 601868?
The net profit margin of China Energy Engineering Corporation is about 1.3%, meaning it keeps roughly 1.3% of revenue as net income. Based on the latest reported figures.
Does China Energy Engineering Corporation pay a dividend?
China Energy Engineering Corporation currently shows a dividend yield of about 1.11% relative to its recent price (as of Jul 16, 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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